LONDON: Raw sugar futures on ICE steadied on Tuesday, boosted by near-term supply tightness and somewhat reduced concerns about inflation in the wider financial markets.
Arabica coffee rose again, even after surging more than 5% on Monday.
SUGAR: March raw sugar rose 1.4% to 19.67 cents per lb by 1607 GMT, having slid 1.1% on Monday.
Dealers said the market is being boosted by near-term supply tightness and an overall reluctance by funds to liquidate their long positions.
France’s farm ministry estimated sugar beet output fell 8.2% this year versus last.
On the downside however, there remains some pressure from data out on Monday showing top producer Brazil’s sugar production in the second half of November was up six-fold versus a year ago, dealers said.
March white sugar rose 0.8% to $538.30 a tonne.
COFFEE: March arabica coffee rose 0.6% to $1.68 per lb, after surging 5.6% on Monday.
Dealers said there remained concerns about the outlook for the coffee crop next year in top producer Brazil.
Data showed Brazilian coffee exports jumped 19% year-on-year in November amid improved shipping conditions.
March robusta coffee fell 0.5% to $1,875 a tonne.
COCOA: March New York cocoa rose 1.7% to $2,544 a tonne.
Rainfall was below average last week in most of top producer Ivory Coast’s cocoa-growing regions but soil moisture remained adequate for the development of the cocoa mid-crop.
Cocoa arrivals at ports in Ivory Coast reached 954,000 tonnes by Dec. 11 since the season start on Oct. 1, up 10% year-on-year.
March London cocoa rose 1.2% to 1,954 pounds per tonne.
Comments
Comments are closed.