ICE raw sugar touched a 30-year peak on Thursday buoyed by fund buying and tight supplies, while cocoa rose towards a four-month high amid concerns over supply risks due to a power struggle in Ivory Coast. ICE arabica coffee futures rose, underpinned by limited supplies of high-quality Colombian beans.
Dealers talked of system fund buying of sugar futures. "The market is being pushed around by algorithm traders and funds who want to keep it steady for the rest of the year," a senior sugar broker said. "But physical premiums are coming down - Thai premiums are coming down, there is Indian white sugar on offer and there are no buyers around at the moment.
ICE March raw sugar was up 0.41 cent or 1.2 percent at 33.54 cents a lb at 1545 GMT, having earlier touched a fresh 30-year peak of 33.73 cents a lb. Second-month cocoa futures on ICE were up $57 or 1.9 percent at $3,044 per tonne at 1546 GMT, nearing the four-month peak of $3,140 touched on December 7. ICE March arabicas were up 3.2 cent or 1.40 percent at $2.3480 per lb at 1547 GMT, below Wednesday's high of $2.4350 per lb, while Liffe March robusta coffee futures were down $9 or 0.5 percent at $2,003 a tonne in light volume of 3,048 lots.
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