London, Nov 7 - Coffee, sugar and cocoa futures rose slightly on Friday, supported by stronger global equities, firmer oil and a weaker dollar but an increasingly gloomy global economic outlook helped to limit gains.
"Outside markets are higher and that is having a more positive effect on coffee having dragged prices down yesterday," one coffee dealer said.
Dealers said, however, they did not expected a major rebound from the steep losses of the last couple of days.
"The Obama effect didn't last very long and there is now a realisation there is a severe financial crisis out there. I don't think there is going to be any short-term correction out of this dip we are seeing," the dealer added.
December arabica futures on ICE were up 0.45 cents at $1.1145 per lb at 1225 GMT. The contract had traded as high as $1.1850 on Tuesday on renewed optimism as money poured into U.S. stocks as Americans voted for a new president.
January robustas in London edged up just $1 to $1,729 a tonne.
Dealers said origin selling, particularly from top robusta producer Vietnam, was weighing on the coffee market.
Brazil exported 2.78 million 60-kg bags of green coffee in October, up 9.4 percent from 2.54 million bags in the same month a year ago - Council of Green Coffee Exporters.
Cocoa dealers talked of firm industry buying interest, with a weak pound giving support to London futures.
"The near-term market outlook is sideways in general," one cocoa dealer said, referring to active industry buying of the March and May 2009 contracts.
Benchmark ICE December cocoa rose $13 to $1,926 a tonne. ICE December options expiry on Friday.
London March cocoa stood 8 pounds higher at 1,281 pounds a tonne.
A drought in Brazil's main cocoa-producing state, Bahia, is expected to cut output in the October-April main crop harvest now under way, and has reduced the size of beans, buyers said on Thursday.
Sugar futures rose as trade and industry buying ran into investor and fund selling, and dealers said there was near-term downside price risk due to ample availability of the sweetener.
"11.50-12.0 cents a lb is a fair price," said David Sadler, a senior sugar trader referring to benchmark front-month ICE futures.
ICE March raw sugar was up 0.10 cent or 11.97 cents a lb at 1225 GMT. London December whites rose $4.20 to $331.20 a tonne.
Mauritius, one of the biggest sugar exporters to Europe from the African, Caribbean and Pacific (ACP) nations group, sent 59,831 tonnes to the European Union in September this year, industry data shows.
Tropical Storm Paloma formed in the Caribbean on Thursday and could strengthen rapidly into a hurricane on a path threatening Cuba - U.S. forecasters.
Brazil exported 2.78 million 60-kg bags of green coffee in October, up 9.4 percent from 2.54 million bags in the same month a year ago - Council of Green Coffee Exporters.