Raw sugar climbs to 7-week high as crop outlooks dim
- May raw sugar was up 0.55 cents, or 3.4%, at 16.84 cents per lb.
- July New York cocoa fell by $13, or 0.5%, to $2,479 a tonne.
LONDON: Raw sugar futures rose sharply on Tuesday, climbing to a seven-week high, as funds added to long positions against the backdrop of declining crop prospects in the European Union and Brazil.
SUGAR
May raw sugar was up 0.55 cents, or 3.4%, at 16.84 cents per lb by 1149 GMT after peaking at 16.88 cents, its highest since Feb. 26.
Dealers said the market continued to derive support from diminished crop prospects in the European Union with heavy frost-related losses in France.
Dry weather in Centre-South Brazil is also seen reducing production in the region while price charts appear more bullish after the market's recent strong performance.
August white sugar rose by $9.20, or 2.0%, to $463.20 a tonne.
COCOA
July New York cocoa fell by $13, or 0.5%, to $2,479 a tonne.
Prices remain weighed by ample supplies with exchange stocks climbing recently for the New York and London contracts. A global surplus is widely projected for the 2020/21 season.
July London cocoa fell by 6 pounds, or 0.4%, to 1,629 pounds a tonne.
COFFEE
July arabica coffee rose by 1.5 cents, or 1.1%, to $1.3340 per lb, advancing towards last week's one-month high of $1.3545.
Dealers said the market was supported by an expected tightening in supplies over the next few months with production in Brazil set to fall in the 2021/22 season, an off-year in the country's biennial crop cycle.
July robusta coffee rose by $1, or 0.1%, to $1,386 a tonne.
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