CSCE raw sugar futures ended firmer on Wednesday on speculative fund buying, but producer sales capped the advance, although fund accounts may mount another probe of higher ground this week, brokers said.
CSCE July sugar rose 0.16 cent to close at 6.91 cents a lb, dealing between 6.75 and 6.99 cents. October gained 0.17 cent to 7.19 cents. Back months gained 0.13 to 0.16 cent.
ISO said the fundamental situation remains bleak because "the critically high level of stocks is expected to keep world market prices under bearish pressure." Technicians feel resistance in July would be at 7.00/05 and then 7.24 cents.
They said support should be at 6.80, then in layers down to 6.50 cents. Final estimated volume was at 71,307 contracts, up from the previous count of 28,112 lots. Call option volume was 10,725 lots and put volume was at 7,344 lots.
Open interest in the No 11 sugar market rose 1,897 lots to 265,389 lots as of May 25. The sugar-based ethanol futures finished mixed. The spot June ethanol contract rose 0.50 cent to 84 cents a gallon. Back months were up 3.00 to down 1.50 cents.
Open interest in the ethanol market rose 87 to 238 lots as of May 25. On Tuesday's trading volume stood at 106 lots. US domestic sugar prices ended firmer on Wednesday. July sugar gained 0.03 cent to 20.42 cents a lb while September rose 0.01 to 20.44 cents.
The rest went up 0.01 to 0.06 cent. Final traded volume was 598 lots against the previous 1,080 lots. The CSCE is a subsidiary of the New York Board of Trade.