Bullish
Raw sugar futures hit 16-month high amid supply concerns in India and Brazil
Raw sugar futures on the ICE exchange reached a 16-month high, closing at 18.70 cents per pound, driven by supply concerns in India and harvest challenges in Brazil. Tight supplies and strong domestic prices in India, the world's largest sugar consumer, contributed to the price increase, while lower production expectations in the European Union and Thailand also supported the market. In Brazil, the world's largest sugar producer, forecasts call for at least 50 millimeters of precipitation over the next 10 days in the key sugarcane district of Ribeirao Preto, which is expected to halt harvesting work.
Key points
- Raw sugar futures reached a 16-month high, closing at 18.70 cents per pound.
- Tight supplies and strong domestic prices in India contributed to the price increase.
- Lower production expectations in the European Union and Thailand supported the market.
- Forecasts call for at least 50 millimeters of precipitation over the next 10 days in Brazil's key sugarcane district, expected to halt harvesting work.
Sources
AI-generated from public news sources. Not financial advice.
