LONDON COCOA TRADES AT LOWS BY MIDMORNING

  Cocoa futures fell to session lows by
  midmorning, posting losses from last night of six to two stg a
  tonne in 1987 deliveries, dealers said.
      Weekend profittaking by jobbers and general book-squaring
  featured the fall which was aided by steady sterling versus the
  dollar and lack of offtake in the physicals market.
      Dealers said the market was switch and straddle-bound, in
  that any pressure on one particular month was certain to be
  reflected in adjacent deliveries.
      The undertone, however, remained cautious as operators
  await an eventual start to ICCO buffer stock buying, dealers
  said.
      The market was originally forecast to open with average
  five stg gains from last night following New York's firmer
  close yesterday, dealers said.
      But this was largely counter-balanced by currency factors.
      Near July traded at its session low of 1,327 stg after one
  hour versus 1,333 bid last night and an early high of 1,335.
      Volume midmorning was 730 lots including 350 lots crossed
  and 108 switches.
      There was no sign of any origin activity.
  

