NEW YORK (TheStreet) -- Cocoa was helping to lead commodities Thursday early afternoon on short covering -- extending gains from the past three days.
Cocoa for July delivery was rising 2.2% to $3,136 a metric ton.
"Price movements in the cocoa market lately have been meaningless," says PFGBEST Research analyst Robin Rosenberg. "With hundreds of thousands of tons [of cocoa] about to flood the market, you would think the market would head lower. Perhaps there are just too many shorts?"
Once the leadership power struggle in the world's leading cocoa-exporting country, the Ivory Coast resolves itself, the market could be flooded with a massive amount of cocoa exports. It will take some time for the country to normalize itself though, Rosenberg said."Stop them [the shorts] out and then we might see a semblance of normality return to the market," the analyst commented. iPath Dow Jones-UBS Cocoa Subindex Total Return ETN (NIB) was adding 1.9% to $44.34.
Natural gas for May delivery was gaining 2.3% to $4.234 per million British thermal units -- extending gains from the previous day -- after the EIA (Energy Information Administration) reported that inventory built up less than expected on a weekly basis.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV