Weak settlement could trigger a sell-off to $2,800 or $2,900 per tonne, basis March - Jimmy Tintle, analyst with Transworld Futures in Tampa, Florida. US cocoa futures moved sideways after falling sharply earlier this week, respecting Wednesday's session low at $3,172, basis March, and making a double-top with the Thursday peak - traders.
Weak pound against the dollar pressured the market - traders. * Sterling fell against the dollar as the US currency rallied on the back of surprisingly strong growth data, which added to optimism that the world's biggest economy is recovering from recession.
"Mix that with a little squeamishness to buy anything commodities right now, a complete deterioration in coffee, and uneasiness in equities and you've got nothing happening, lack of buying interest in cocoa." Michael Maniatis, market strategist with LaSalle Futures Group in Chicago. Buyers will likely enter the cocoa market around $3,100 to $3,150, basis March - Maniatis.
Market fell sharply earlier this week, falling from last week's high at $3,485, basis the spot contract, but failed to breach $3,510, the 30-1/2 year high reached in mid-December - traders. United States moves to tighten regulation of speculation in energy and commodities and President Barack Obama's plan to rein in banks may push global prices down in the long term - Commerzbank's head of commodities research. Total volume on Thursday at 21,016 lots, down from the previous 32,086 lots - ICE.