NEW YORK/LONDON: Raw sugar futures on ICE fell on Friday, extending losses after the prior session's about-face from a 2012 high attracted technical selling, while concerns about Germany's Deutsche Bank diminished risk appetite in financial markets earlier.
New York cocoa prices turned higher after tapping a 1-1/2-year low, while coffee was mixed. March raws settled down 0.35 cent, or 1.5 percent, at 23 cents per lb.
The second month peaked at 24.10 cents on Thursday, matching a high last reached in July 2012. Thursday's key reversal lower and "double top" with the July 2012 high were "a warning signal," said James Cassidy, director and global head of Sugar Derivatives for Societe Generale in New York.
"It's not unusual for bounces to start failing after this kind of signal," he added.
The second-position contract finished the third quarter up 13 percent, its sixth straight quarterly climb as dealers focused on expectations for a global deficit. "There are some macro concerns today," said James Kirkup, head of sugar brokerage at ABN AMRO Markets in London.
"Most markets are off, and there's a bit of uncertainty linked to the banking situation in Germany."
Sugar prices briefly firmed when data from Brazil cane industry group Unica showed the country's main center-south crush reached 37.6 million tonnes in the first half of September, below market estimates for the second consecutive fortnight.
The October contract expired at the end of the session at a 0.47 cent discount to March, compared with 0.59 cent on Thursday. Dealers said they expected a small delivery. December whites settled down $5.50, or 0.9 percent, at $597.20 per tonne, below a four-year peak of $619 reached on Thursday.
Cocoa futures firmed, consolidating after Thursday's tumble. December New York settled up $33, or 1.2 percent, at $2,761 per tonne, after edging down to $2,708, the lowest for the spot contract since April 2015. It closed the quarter down 8.1 percent.
London March settled up 8 pounds, or 0.4 percent, at 2,164 pounds per tonne.
Arabica coffee futures turned higher, with December closing up 1.4 cent, or 0.9 percent, at $1.5155 per lb. Forecasts for rain in key coffee-growing areas in Brazil had improved the outlook for next year's crop. Spot arabica rose for the fourth straight quarter as global exports climbed year-over-year.
November robusta coffee settled down $6, or 0.3 percent, at $2,004 per tonne.
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