Sugar #11 Futures Market News and Commentary
May NY world sugar #11 (SBK20) this morning is up +0.06 (+0.58%), and May London white sugar #5 (SWK20) is down -5.70 (-1.69%).
Sugar prices this morning are mixed with London sugar at a 4-1/2 month low. A -6% slump in crude oil prices this morning is weighing on ethanol and sugar prices. Crude oil has retreated on uncertainty about whether there will be a price-war truce between Russia and Saudi Arabia. Today's scheduled video conference between OPEC+ has been rescheduled until Thursday and Russia and Saudi Arabia want the U.S. to join in the conference, although President Trump has yet to say if the U.S. will join. Weaker crude oil prices undercut ethanol prices and may prompt Brazil's sugar mills to divert more cane crushing toward sugar production rather than ethanol production, thus boosting sugar supplies.
Sugar prices are receiving a boost today from a sharp rally in the Brazilian real. The real is up +2.17% against the dollar today on signs that the Brazil Cent... Read more