Laborers in Nigeria kicked off a national strike on Monday, which threatens to shutter ports. The drivers of the protest were expenses and costs of fuel more than doubling. The soft commodity is coming off losses from 2011 that amount to 31 percent, the steepest fall in value since 1999.
"Whenever you see a country being immobilized, you run the risk of exports not moving at all," senior commodities broker Hector Galvan with RJO Futures in Chicago told Bloomberg, pointing to the globe's top exporter of cocoa. "Nigeria is not Ivory Coast, but when all is said and done, it's one of the top producers."
At 1:22 p.m. on Monday, cocoa futures gained 7 percent, a $142 rise to $2,170 per metric ton.
The Wall Street Journal reports crops in Ivory Coast face the prospect of damage as a result of dry desert winds harming the end of the crop's production. Cocoa is the primary crop of the West African nation.
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