London cocoa futures closed lower on Thursday, recovering above support levels after fears that a technical sell-off in the day's coffee market would spread to cocoa proved unfounded, dealers said.
"It was a lot weaker today, everybody was expecting to see funds liquidate after what happened in coffee but the big boys weren't apparent today...it's obviously not their time," one dealer said.
Liffe December contract settled at 998 pounds a tonne, down 14 pounds after trading within a 983-1008 range.
The market softened around mid-session just after coffee dived through support levels to a 21-month low amid talk that a large fund was liquidating its long position, dealers said.
Volume on the December contract was 3,896 lots out of a total turnover of 8,175.
Comments
Comments are closed.