Cocoa Falls in N.Y. as Dollar Gain Against Euro May Curb Demand

By Ron Day

Aug. 8 (Bloomberg) -- Cocoa fell, heading for the biggest weekly drop since March, as the dollar gained against the euro, lifting the costs of raw materials for buyers using other currencies.

The euro slumped to a five-month low against the dollar as traders pared bets the European Central Bank will raise interest rates as the economy slows. The Reuters/Jefferies CRB Index of 19 commodities fell, as crude oil, gold and wheat declined.

Cocoa futures for December delivery dropped $69, or 2.5 percent, to $2,744 a metric ton at 8:42 a.m. on ICE Futures U.S., the former New York Board of Trade. A close at that price would mark a 9.1 percent decline since Aug. 1, the biggest weekly drop since March 21.

To contact the reporter on this story: Ron Day in New York at rday1@bloomberg.net.