Raw sugar edges higher, arabica coffee also climbs

Raw sugar futures on ICE were higher on Friday as the market edged away from a 2-1/2 month low set earlier in the week, boosted partly by a stronger Brazilian real.
SUGAR
March raw sugar was up 0.05 cent, or 0.4 percent, at 13.82 cents per lb at 1411 GMT.
A stronger real makes it less attractive in local currency terms for Brazilian producers to sell and is supportive for dollar-denominated sugar prices.
Dealers said a widening premium for the front month and potential import demand from China had also helped to halt the recent slide in prices after the market fell to a 2-1/2 month low of 13.70 cents on Tuesday.
"Sugar bulls will point out that market's don't generally collapse when the front month is firm," said Sucden Financial senior trader Nick Penney.
Chinese sugar refineries are planning to lobby Beijing to increase out-of-quota sugar imports next year, according to three sources familiar with the matter, after the government took several steps to curb shipments this year.
"The market has stalled at these levels while it pauses to ponder what some extra imports by China will do to market balances," said Commonwealth Bank of Australia analyst Tobin Gorey in a market note.
March white sugar was up $1.10, or 0.3 percent, at $362.60 a tonne.
COFFEE
March arabica coffee was up 1.30 cents, or 1.1 percent, at $1.2160 per lb, pulling away from a 5-1/2 month low of $1.1830 set on Tuesday.
Dealers said a stronger real was also supportive of arabica coffee prices.
March robusta coffee was down $8, or 0.5 percent, at $1,732 a tonne.
Dealers said the robusta market was back on the defensive after a short-covering rally which saw prices climb from a low of $1,676 on Tuesday to a peak of $1,744 on Thursday.
Favourable weather has allowed harvesting to make progress in top robusta producer Vietnam and a large crop is generally anticipated although the recent decline in prices has deterred farmer selling.
COCOA
March London cocoa was down 3 pounds, or 0.2 percent, at 1,408 pounds a tonne.
Dealers said the weekly "commitment of traders" report later on Friday will be closely watched to see if speculators have further increased a net short position, raising the possibility of a short covering rally in the near future.
Origin selling may, however, cap any rebound in prices with overall supplies remaining ample following last season's huge global surplus.
March New York cocoa was off $15, or 0.8 percent, at $1,878 a tonne.