I added a couple more ideas to the sugar trade of a few days ago. It's at the end of the sugar post.
I also took off half of the chocolate trade. Partly it's because it has done very well, and I wanted to book something. More important though, I get the feeling that the trade has become well advertised. Everyone I speak to knows about it. I have also seen it touted in various blogs and analyst reports. So some of it is clearly in the market. Also, cocoa prices have flushed. Now partly this is because of the return of rains in West Africa, exacerbated by spec liquidation. However, US grind was not that great. It might mean that the consumption story is slowing down. I don't think so, but it's wise to take some off the table.
Alcoa's management is finally doing the right thing. The recent announcement (selling off the consumer businesses) shows that they must realize that a pure metal company is going to be more highly valued than a conglamerate. This is very good news. However, I shouldn't gloat - AA still down 1.9% on a beta-adjusted basis since the trade went on.
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