Cocoa prices fell today, but with fears of the deadly Ebola virus intensifying, analysts are expecting another spike in the price of the commodity as countries like Ghana and the Ivory Coast – the two largest cocoa producers in the world – remain vulnerable to an outbreak.
According to MarketWatch, cocoa is currently trading at 3,114.00¢, down 1.24 percent from yesterday's close of 3,153.00¢. At one point, prices fell to a low of 3,112¢ on Thursday. Despite the fact that cocoa prices are still lower than they were after a spike in September, when news of the Ebola outbreak started to spread, analysts predict that prices may be in for another rapid increase.
While Ebola has yet to be detected in either the Ivory Coast or Ghana, both countries are on high alert as they neighbor the epicenter of the outbreak – Liberia, Sierra Leone and Guinea, the Wall Street Journal reported. The Journal also noted that prices for the main chocolate ingredient surged to a 3.5 year high late last month. Big chocolate producers like Nestle are keeping a close watch on the situation, noting that a new outbreak in either country would likely send cocoa prices skyrocketing again.
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