Raw sugar rises in subdued trade as dollar dips despite Trump threat
- March raw sugar settled up 0.7% to 14.64 cents per lb.
- March London cocoa edged up 0.1% to 1,655 pounds per tonne.
- March robusta coffee edged up 0.2% to $1,382 a tonne.
LONDON: Raw sugar futures on ICE edged up on Wednesday in thinly traded markets as the dollar edged lower, with investors choosing to look beyond US President Donald Trump's threat to block a $892 billion COVID-19 aid package.
A weak dollar makes dollar-priced commodities like sugar cheaper for non-US investors.
SUGAR
March raw sugar settled up 0.7% to 14.64 cents per lb at 1251 GMT.
Dealers expect sugar to remain rangebound in the run up to Christmas, with few new fundamental factors to drive it.
Data showed China's sugar imports in November surged 115.2% year-on-year to 710,000 tonnes, although rising Chinese imports have been mostly priced in.
Ukrainian sugar refineries have produced 984,300 tonnes of white sugar so far in the 2020-21 production year which began on Sept. 1, the national sugar union said.
March white sugar rose 0.7% to $403.50 a tonne.
COCOA
March London cocoa edged up 0.1% to 1,655 pounds per tonne, having touched its lowest since mid-November on Tuesday.
Sterling rose amid speculation the European Union and Britain will announce a Brexit trade deal on Wednesday.
A stronger pound makes sterling-priced London cocoa costlier for non-British investors.
March New York cocoa rose 0.5% to $2,482 a tonne.
COFFEE
March arabica coffee rose 0.8% to $1.2715 per lb, having set a one-week low on Monday.
March robusta coffee edged up 0.2% to $1,382 a tonne.
Comments
Comments are closed for this article.