LONDON: Raw sugar futures on ICE were lower on Friday, extending the market’s retreat from the previous session’s near 6-year high, while coffee and cocoa prices also fell.
Sugar
March raw sugar fell 0.4% to 19.90 cents per lb by 1233 GMT. The front month had risen to a peak of 20.73 cents on Thursday, the highest level since February 2017.
Dealers said weaker energy prices had contributed to the pullback along with the possibility that India may allow additional sugar exports in January.
Pakistan’s decision this week to lift a ban on sugar exports after record production this year has also helped to weigh on prices.
March white sugar fell 0.4% to $542.90 a tonne.
Arabica coffee extends rebound, sugar also up
Coffee
March arabica coffee fell 0.9% to $1.7025 per lb although the market remained on track for a weekly gain of nearly 8%.
Dealers said the recent run-up was largely technically driven although slow farmer selling in Brazil has also provided some support.
Exchange stocks, however, continued to climb while U.S. green coffee stocks also posted a first increase in three months during November.
ICE certified coffee stocks stood at a five-month high of 743,010 bags, as of Dec. 15. There were also 322,495 bags pending grading.
March robusta coffee fell 0.3% to $1,872 a tonne.
Cocoa
London cocoa fell 0.4% to 1,967 pounds a tonne.
March New York cocoa fell 0.9% to $2,494 a tonne.
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