September ICE NY cocoa (CCU26) closed up +39 (+0.67%) on Monday, and September ICE London cocoa #7 (CAU26) closed up +5 (+0.12%).
Cocoa prices erased early losses on Monday and settled higher on fund buying amid the outlook for poor weather from this year’s El Niño weather system that could reduce cocoa production in West Africa. Gains in London cocoa were limited on Monday after the British pound (^GBPUSD) rallied to a 2-week high, undercutting cocoa priced in sterling.