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Cocoa rallied to a 16-month peak, fueled by follow-through fund buying amid lingering market worries about supply tightness in Europe and positive technical signals.
The New York Board of Trade (NYBOT) cocoa contract for September cocoa climbed $34 or 2.04 percent to finish at $1,701 per tonne after trading from $1,665 to $1,704.
Coffee futures settled narrowly mixed after finding an equally mixed bag of signals from benign weather in top coffee producer Brazil to light fund buying and short covering.
NYBOT's arabica coffee for September delivery concluded down 0.05 cent at $1.0345 a lb after trading from $1.02 to $1.0375 cents. Longer-dated arabicas ended flat to up 0.20 cent.
Cocoa jumped on speculative buying while coffee and grains such as wheat, corn and soybeans saw mixed results as markets reopened from the US Independence Day holiday.

Copyright Reuters, 2006

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