New York Board of Trade cocoa futures prices closed modestly higher on Tuesday as the market consolidated after nine consecutive days of losses and recent contract lows, traders said.
The NYBOT's most-active December delivery gained $8, or 0.6 percent, to settle at $1,383 a tonne, after trading from $1,378 to $1,392.
Front-month September rose $4 to $1,341, while back-month cocoa futures advanced $7 to $9.
Contract switching ahead of the front month's first notice for delivery on Thursday accounted for the bulk of estimated trading turnover of 15,862 contracts, said a trader.
"There was a lot of switches coming in. The specs were pretty quiet today maybe 500 to 800 lots, but I don't think they sold more than that," he said. Benchmark cocoa futures had shed about 11 percent from a five-week peak of $1,537 on August 3, with the December contract marking a contract low of $1,370 on Monday.
That was the lowest price on a continuation chart since July 2004. In London, the Life's benchmark December cocoa contract settled up 0.1 percent at 805 pounds a tonne on Tuesday, rebounding from posting a contract low 799 in the day.
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