White sugar futures steady but supply tightness underpins
- March white sugar was little changed at $462.50 a tonne.
- March New York cocoa rose 0.6% to $2,541 a tonne.
- March arabica coffee slipped 0.3% to $1.2360 per lb.
LONDON: White sugar futures on ICE steadied on Thursday as the market consolidated from a near four-year peak hit earlier this week, though prices remained underpinned by supply tightness.
SUGAR
March white sugar was little changed at $462.50 a tonne at 1148 GMT, having climbed on Tuesday to a peak of $470.40.
White sugar availability remains limited due to robust demand and a shortage of shipping containers that is prompting those who need sugar to seek it on the exchange.
Dealers said a significant sell-off in sugar is unlikely near term, but further out prices could retreat as the upcoming harvest from top producer Brazil looms into view.
March raw sugar fell 0.2% to 16.01 cents per lb
COCOA
March New York cocoa rose 0.6% to $2,541 a tonne.
Cocoa has been trading in a range for much of this year, capped by concerns over plentiful supplies in top producer Ivory Coast, but underpinned by signs demand is recovering, albeit slowly.
March London cocoa rose 0.8% to 1,735 pounds per tonne.
COFFEE
March arabica coffee slipped 0.3% to $1.2360 per lb.
The global coffee market should see a surplus of 5.26 million 60-kg bags in the 2020/21 season, the International Coffee Organization said in a report on Tuesday.
Analysts in a Reuters poll see an arabica surplus of 8 million bags for 2020/21, though they expect prices to end the year at $1.35 per pound as the market moves to price in next season's deficit.
March robusta coffee edged up 0.2% to $1,346 a tonne.
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