Cocoa Futures Rally on Dollar Weakness; CCH26, CAH26 Surge

Cocoa futures rebounded sharply on February 20, 2026, fueled by dollar weakness and technical short covering. March ICE NY cocoa (CCH26) climbed 3.98%, while March ICE London cocoa (CAH26) surged 6.44%. The rally counters a six-week downtrend that saw prices hit 2.75-year lows on February 19, 2026. ICE inventories rose to 2,087,755 bags, and demand remains weak, with StoneX projecting a 287,000 MT global surplus for 2025/26. Barry Callebaut recently reported a 22% decline in sales volume, while favorable West African weather threatens to boost supplies further.