Sugar #11 Futures Market News and Commentary
Mar NY world sugar #11 (SBH21) on Tuesday closed down -0.18 (-1.22%). Dec London white sugar #5 (SWZ20) closed down -6.40 (-1.59%).
Sugar prices on Tuesday fell back on profit-taking after the Indian Sugar Mills Association (ISMA) raised its India 2020/21 sugar production estimate to 31 MMT from a June forecast of 30.5 MMT.
Sugar prices on Monday rallied to 7-3/4 month nearest-futures highs on concern that Brazil's dry conditions may curb sugarcane yields that lowers Brazil's sugar production. Irregular rain in Brazil's sugar-growing areas is keeping soil moisture levels below normal. On Monday, data from Somar Meteorologia showed that rain in southern Brazil was only 9.8 mm in the past week or 33% of the historical average.
Sugar prices have rallied sharply over the past five weeks on concern about future Brazil sugar output. Archer Consulting Sep 29 said that dry weather that sparked fires in Brazil's sugar-cane growing regions could curb Brazil's 2020/21 suga... Read more