A Short Squeeze Developing in the Cocoa Market?

Filed under: International Markets, Products and Services, Market Matters, Commodities

Is there a squeeze developing in the cocoa market? Is sure feels and smells like it. A squeeze is when one firm buys large quantities of a product, usually a product in short supply, holds it, waits for the price to go up and then unloads it at the higher prices.

This is exactly what is happening in the cocoa market. Amajaro, a hedge fund, took delivery of 240,000 tons of cocoa on London's Life exchange. The cocoa was then certified and stored in warehouses ready for resale.

Continue reading A Short Squeeze Developing in the Cocoa Market?

A Short Squeeze Developing in the Cocoa Market? originally appeared on BloggingStocks on Sun, 18 Jul 2010 11:40:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments
















London - Hedge fund - Cocoa bean - Business - BloggingStocks

Full story at http://www.pheedcontent.com/click.phdo?i=1cba97aeee5115d0e09f4de44bacd5e3