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Economy

Cocoa on fire

London cocoa futures have hit a 23-year-high as cocoa turned out to be the most lucrative commodity in 2008. Cocoa for delivery in May peaked at £1,820 per tonne in London, which was its highest price since October 1985. Cocoa traded in the US has also been rising, although not as strongly because of the strength of the dollar. Most commodities are priced in dollars, even in London trading, but London cocoa is priced in sterling, so traders can benefit from the weaker currency. "Cocoa is on fire," said Sterling Smith from FuturesOne in Chicago. "We have supply concerns continuing. The market is plenty bullish and we have plenty of room to go on the up-side,"he added. Source: Ghanaian

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