London cocoa drops on fund selling

London cocoa futures suffered a six percent drop on Friday, falling for a second session, as fund selling destroyed some of the market's recent rally, dealers said.
Liffe December contract broke a support level of 950 to close 60 pounds weaker, at 938 pounds a tonne.
The contract traded between 928, the lowest since June 27, and 997 pounds, on volume of 5,917 out of a daily total of 10,837.
"The market was ready for a retracement and some of the technical indicators have pointed towards this sort of correction," a trader said.
Losses accelerated as prices triggered funds' sell stops, he said.