Chocolate prices have risen 11% over the past year driven by surging cocoa costs (CC=F). The El Niño weather pattern has disrupted major cocoa-producing regions, causing supply shortages that have caused cocoa futures to spike dramatically. Yahoo Finance's Brooke DiPalma breaks down the details. For more expert insight and the latest market action, click here to watch this full episode of Yahoo Finance Live. Editor's note: This article was written by Angel Smith
Higher prices for chocolate could be here to stay.
The amount of trading in futures of sugar, coffee and cocoa at the Intercontinental Exchange (ICE) increased sharply in 2023 as companies sought to cover rising risks related to the global supply chain, the exchange said in a report on Thursday. ICE said that the average daily volume (ADV) traded in sugar contracts in 2023 rose 21% from the previous year and was a record. It said ADV for cocoa contracts in 2023 increased 14% from 2022, while ADV for coffee futures jumped 9% last year.