NY cocoa sinks late on Gbagbo talk, sugar/coffee up : NEW YORK, March 18 (Reuters) - U.S. cocoa futures endedFriday at a two-month low after talk that Ivory Coast's LaurentGbagbo may be open to negotiations to quit the presidency, which could allow beans from the top producer to reach the market.
COFFEE
* May arabica coffee futures increased 5.30 cents to conclude at $2.762 per lb.
* On the week, the arabica market was up 0.65 percent. * Analysts said tight supplies of high-quality washed arabica beans bolstered the market.
* Short-covering boosted arabicas because investors remained nervous ahead of the weekend after fighting in Libya and disasters in Japan.
* Starbucks Corp is hiking the price of its products due to rallying coffee prices.
* Key May cocoa futures dropped $155 or by 4.72 percent to close at $3,127 per tonne.
* It was the lowest close for the contract since Jan. 20, according to Thomson Reuters data.
* It was also the biggest one-day fall for the market since July 19, 2010, the data showed.
* On the week, the market is down 8.35 percent.
* Traders said talk Ivory Coast incumbent Laurent Gbagbo may be open to negotiations to relinquish power sparked heavy long liquidation.
* "He's feeling the heat," Gentile said.
* Cocoa volume stood around 21,600 lots, about a quarter over the 30-day norm, Thomson Reuters preliminary data showed. ****
