Cocoa Futures Hover Around 3-Week Low

Cocoa futures traded around $5,900 per tonne, holding close to their lowest since August 26, amid signs of abundant short-term supply. ICE cocoa inventories stand at a two-year high of around 3.42 million bags. Meanwhile, the market continues to monitor crop diseases, excessive rainfall, and plantation conditions across West Africa, particularly in Ghana and the Ivory Coast. The outlook for the 2026/27 season remains uncertain, with weather risks, particularly the development of the El Niño weather pattern, threatening West African crops. This year’s strong El Niño could intensify the dry harmattan winds, which typically arrive in the region around November. This would mark a shift from excessive moisture to conditions that could threaten the final stages of the main harvest.