Sugar #11 May '27 (SBK27)
Sugar #11 Futures Market News and Commentary
July NY world sugar #11 (SBN26) on Friday closed up +0.15 (+1.03%), and Aug London ICE white sugar #5 (SWQ26) closed up +0.10 (+0.02%).
Sugar prices settled higher on Friday, supported by strength in the Brazilian real. Â The real (^USDBRL) rose +0.56% on Friday, just below Wednesday's 2.25-year high. Â The stronger real discourages export sales from Brazil's sugar producers.
On Thursday, sugar prices fell to 1-week lows after gasoline prices (RBM26) fell by more than 8% over the past three sessions, which undercut ethanol prices and weighed on sugar prices. Â According to Covrig Analytics, falling ethanol prices are already prompting Brazilian sugar mills to divert sugarcane away from ethanol production toward sugar, as sugar prices are currently 0.7 to 1 cent per pound more profitable to produce than ethanol. Â
Last Thursday, Unica reported that 2026/27 Brazil Center-South sugar production in the first half of April fell -11.9% y/y to 647 MT, with mills cutting the... Read more
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