NY juice finishes lower, TS Maria poses no threat

NEW YORK: Orange juice futures ended a tad lower on Wednesday as the absence of weather threats to the citrus growing state of Florida extended the market's recent rangebound trade, analysts said.

The key November frozen concentrated orange juice futures fell 1.1 cent to end at $1.6685 per lb, dealing from $1.665 to $1.684.

Volume came below 600 lots at 2:28 p.m. EDT (1828 GMT), about three-quarters below the 30-day norm, preliminary Reuters data showed.

A lack of imminent threat from Tropical Storm Maria also eased supply worries, traders said.

TS Maria strengthened a bit as it moved north by northwest, with its path largely steering clear of the United States.

"The market has been very quiet, much like the tropics in this week that is supposed to be the very heart of the most active part of hurricane season," said one Florida-based OJ trader.

Dealers said, however, losses are limited as it is still within the peak period when storms could hit citrus farms in Florida, the top citrus producing state in the country.

That period normally runs through the middle of October. The annual hurricane season ends on Nov. 30.

The market will be looking forward to the release next month of the US Agriculture Department's monthly supply/demand report when the first government estimate of Florida's 2011/12 citrus crop is released.

The Florida-based trader said field reports show that citrus fruits are larger-than usual, suggesting the USDA report could exceed market expectations.

The level of investor interest remained near a three-year low as open interest fell slightly to 24,028 lots as of Sept. 13, ICE Futures US data said.

Volume traded on Monday stood at 698 lots, down from the Monday mark of 860 lots, exchange data showed.

Copyright Reuters, 2011