December 31st, 2012

Sugar futures rose in London to the highest price in almost four weeks on speculation demand for the refined variety exceeded estimates. Robusta coffee gained.

The premium commanded by white, or refined, sugar over raw sweetener climbed 5.4 percent in the past month, data compiled by Bloomberg showed. That may mean demand was underestimated, London-based broker Marex Spectron Group said in a report dated today. Sugar is down 13 percent in London and 16 percent in New York in 2012, heading for a second year of declines, as global supply is set to outpace demand for a third year in the 2012-13 season begun in October.

Continue reading »

December 3rd, 2012

Sugar futures jumped the most in two weeks on signs of declining output in India, the world’s second-biggest producer.

The Indian Sugar Mills Association said today that production of 2.33 million metric tons in October and November was down 2.5 percent from a year earlier because of crushing delays in Uttar Pradesh. The group has pegged the harvest at 24 million tons, down from 26.3 million in the season ended Sept. 30, while UBS AG has said output may be as low as 23 million tons.

Continue reading »

November 29th 2012

Sugar Futures – U.S. soft futures were higher during U.S. morning hours on Thursday, with sugar and coffee prices firming as top producer Brazil’s harvest of both commodities begins to wind down.

On the ICE Futures U.S. Exchange, sugar futures for March delivery traded at USD0.1925 a pound, up 0.7% on the day. The March contract rose by as much as 1.4% earlier in the session to hit a daily high of USD0.1939 a pound.

Brazil’s top sugar industry group Unica said on November 26 that sugar output in Brazil’s Center South-region jumped 37% in the first two weeks of November compared to the same period a year earlier.

Continue reading »

November 8th, 2012

Sugar Futures – Indian farmers may reap at least 6 percent more sugar than forecast by the government and industry, extending the longest global glut in more than a decade and a bear market that began in September.

Output in the world’s second-biggest producer will reach 25.53 million metric tons in the season that began Oct. 1, according to a survey of 820 farmers across an area responsible for 93 percent of national output by Geneva-based SGS SA (SGSN) for Bloomberg. While that’s 2.6 percent less than a year earlier, the government expects output of 23.5 million tons and the Indian Sugar Mills Association predicts 24 million tons.

Continue reading »

Sugar Futures Plunge

On October 12, 2012, in sugar futures trading news report, by Infinity Trading

October 12, 2012

Raw sugar futures on ICE plunged almost 4 percent on Thursday as funds and speculative investors continued to liquidate positions amid talk that importers may be cancelling cargoes. Coffee hit one-month lows and cocoa plumbed levels last seen in July amid plentiful supplies and sluggish consumption.

Reinforcing concerns about weakening demand was widespread talk about sugar washouts – where buyers give up the obligation to take delivery by paying a penalty – which centred on China and India, dealers said. Buyers may be walking away from hundreds of thousands of tonnes worth of contracts after sup ply concerns that sent prices a s high as 24 cents a lb in mid-July dissipated. Prices have since plunged 15 percent.

Continue reading »

September 11th, 2012

Sugar Futures – Sugar, trading near a two-year low, is set to pile up in producing countries next season as a lack of demand amid a global surplus forces growers to hold back supplies, according to Kingsman SA.

“Sellers will struggle to get buyers for raw sugar in the season starting October,” Jonathan Kingsman, chief executive officer of the Lausanne, Switzerland-based researcher and broker, said in an interview in New Delhi. “Indonesia will be the biggest raw sugar importer in the absence of Russia and China. Prices will remain under pressure in the next six to 12 months on excessive supplies.”

Continue reading »

June 15th, 2012

Sugar futures raw rose the most in more than a week on signs that rains will hamper crops in Brazil, the world’s top producer. Coffee gained, while cocoa slid.

Rains are forecast to last through the beginning of next week, according to Marco Antonio dos Santos, an agronomist at weather forecaster Somar Meteorologia in Sao Paulo. Rainfall has slowed Brazil’s sugar harvesting and spurred an 18 percent drop in the amount of cane processed by mills in the second half of May, Unica, an industry group, said yesterday.

Continue reading »

May 29th, 2012

Sugar futures raw fell for the first time in three sessions on renewed concern that global output will exceed demand as exports expand from Brazil, the world’s biggest producer. Cocoa rose and coffee declined.

Sugar exports from Brazil are more profitable than sales in the domestic market after the real weakened against the dollar over the past three months, according to Cepea, a University of Sao Paulo research group. The advance in Brazil’s center south’s harvest “should weaken prices” as weak demand in the Northern Hemisphere “prompts a global trade surplus into the third quarter,” Hussein Allidina, Morgan Stanley’s head of commodities research, wrote in a report e-mailed today.

Continue reading »

May 22nd, 2012

Sugar Futures – A delay in harvesting the sugar cane crop in Brazil will see the world’s largest producer lose market share in China, set to be one of the season’s biggest importers, as Thailand increases its shipments to the Asian nation.

Thailand is forecast to ship 600,000 metric tons of raw sugar to China in the first half of the year, according to Thai Sugar Trading Corp., the country’s largest exporter. That would be the most since at least 2005 and almost a fifth of all the sugar China will need to buy this year. Last year, its shipments to China totaled 277,572 tons of sweeteners, according to Thailand’s Office of Cane & Sugar Board.

Continue reading »

April 30th, 2012

Sugar Futures – The price of raw sugar traded in New York may fall below 19 cents a pound “very soon,” prompting processors in top producer Brazil to make ethanol rather than the sweetener, Marex Spectron Group said.

Sugar futures have fallen 8.4 percent on ICE Futures U.S. in New York this year, as supplies outpace demand by 6 million metric tons, up from a previous forecast of 5.2 million tons, according to the International Sugar Organization in London. The price was at 21.34 cents a pound by 6:28 a.m. Below 19 cents a pound, millers in Brazil would favor production of the biofuel, Marex Spectron said, referring to the variety used in flex fuel cars.

Continue reading »