Sugar #11 Futures Market News and Commentary
May NY world sugar #11 (SBK21) on Tuesday closed up +0.08 (+0.52%), and May London white sugar #5 (SWK21) closed up +3.70 (+0.88%).
Sugar prices on Tuesday settled moderately higher, with London sugar posting a 1-1/2 week high. Concern about smaller sugar supplies from France, the largest sugar producer in the EU, is bullish for prices. A severe frost in France has damaged 10% of France's sugar beet crop, according to farmer group CGB.
Sugar prices have been under pressure recently on concern the resurgence of the pandemic will keep pandemic restrictions in place that crimp fuel demand and encourage Brazil's sugar mills to divert more cane crushing toward sugar production rather than ethanol production, thus boosting sugar supplies. Brazil last Thursday reported a record of 4,249 deaths from Covid, and the 7-day average of new Covid infections in the U.S. rose to 70,003 on Monday, the most in 7 weeks. Also, India reported a record 168,912 new Covid in... Read more