Orange-Juice Futures Post Biggest Weekly Gain Since April

Orange-juice futures posted the biggest weekly gain in five months as U.S. inventories tumbled. Cocoa extended a rally to the highest in almost a year, while sugar, coffee and cotton fell.

Stockpiles of orange juice monitored by ICE Futures U.S. slumped to 11.73 million pounds, down 63 percent from a year earlier. Output in Florida, the world’s second-largest producer, may drop to 130 million boxes in the 12 months beginning Oct. 1, Elizabeth Steger, a consultant in Kissimmee, Florida, said last month. That compares with 133.4 million this season, according to the U.S. Department of Agriculture. A box weighs 90 pounds, or 41 kilograms.

“The market is reacting to the upside based on the decrease in stockpiles,” Michael Smith, the president of T&K Futures & Options Inc. in Port St. Lucie, Florida, said in an e-mail.

Orange juice for November delivery advanced 0.6 percent to settle at $1.402 a pound at 2 p.m. on ICE in New York. This week, the price jumped 5.3 percent, the most since April 5.

The National Hurricane Center in Miami is tracking three storms in the Atlantic. While there is no threat to Florida, investors are concerned that a shift in weather patterns may threaten citrus groves, Smith said.

Brazil is the biggest orange producer.

Cocoa futures for December delivery climbed 0.4 percent to $2,601 a metric to. Earlier, the price reached $2,609, the highest for a most-active contract since Sept. 17, 2012. This year, the commodity has advanced 16 percent.

Raw-sugar futures for March delivery fell 0.3 percent to 17.68 cents a pound. The price has dropped 9.4 percent this year.

Arabica-coffee futures for December delivery slid 0.5 percent to $1.20 a pound. The price has dropped 17 percent this year.

Cotton futures for December delivery fell 0.3 percent to 84.46 cents a pound.

Before it's here, it's on the Bloomberg Terminal.