Rainfall has picked up in recent days in major cocoa producers Ghana and Ivory Coast, but "in the grand scheme of things we're still down in overall rainfall," said Hector Galvan, analyst for RJO Futures in Chicago.
Cocoa for September delivery added $66 to $2,993 per metric ton on the IntercontintalExchange, or ICE Futures. Prices earlier peaked at $2,997, the highest since March 26, 1980, when prices closed at $3,042, said Nathan Golz, a researcher at Wachovia (nyse: WB - news - people ) Securities in St. Louis. Cocoa's all-time high is $5,010, reached on July 18, 1977, Golz said.
Also driving prices higher was recent weakness in the British pound compared to the dollar, and concerns of a diseased West African crop, Galvan said.
Cocoa prices have surged more than 30 percent in the last year. In a report last week, investment bank Fortis (other-otc: FORSY.PK - news - people ) said it expects a global cocoa shortfall for the third straight year, mainly due to unfavorable weather and rising demand.
From forbes.com
