LONDON: ICE raw sugar futures steadied above 12 cents on Thursday despite weaker energy prices and a stronger dollar, while arabica fell again, heading for 10% losses on the week.
October raw sugar slipped 0.08 cent, or 0.7%, to 12.27 cents per lb at 1346 GMT, still headed for gains of 4% this week, having hit a near two-week high on Wednesday.
The dollar rose across the board, making dollar-priced sugar more costly for non-US investors, while equities and oil prices headed lower, denting appetite for other risky assets like agricultural commodities.
Dealers said it was inevitable that sugar would stabilise following gains this week, but noted the discount for October sugar over March is narrowing - a bullish signal.
France has fined French sugar and ethanol producer Tereos 390,000 euros ($459,000) for late payments to suppliers, according to a filing published by a state watchdog.
December white sugar rose $0.60, or 0.2%, to $358.60 a tonne. December arabica coffee fell 3.1 cents, or 2.5%, to $1.1680 per lb, having lost some 10% of its value so far this week amid forecasts for rains in top producer Brazil.
November robusta coffee fell $26, or 1.9%, to $1,365 a tonne. Coffee prices in top robusta producer Vietnam steadied this week, underpinned by a shortage of beans ahead of the new crop season, but with tepid demand capping the upside. December London cocoa rose 20 pounds, or 1.1%, to 1,822 pounds per tonne, having hit its highest since mid May on Tuesday amid political tensions in the Ivory Coast.
December New York cocoa rose $18, or 0.7%, to $2,607 a tonne.
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