White Sugar #5 Futures Market News and Commentary
October NY world sugar #11 (SBV22) on Thursday closed down -0.47 (-2.58%), and Oct London white sugar #5 (SWV22) closed down -13.10 (-2.37%).
Sugar prices Thursday dropped to 1-1/2 week lows and closed moderately lower. Slack Chinese sugar demand weighed on prices after Thursday's data from China's Customs Office showed China's July sugar imports plunged -35% y/y to 280,000 MT.
Weakness in the Brazilian real Thursday also weighed on sugar after the real (^USDBRL) fell -0.48%to just above Wednesday's 1-1/2 week low against the dollar. A weaker real encourages export selling by Brazil's sugar producers.
On Monday, sugar prices rose to 1-month highs on concern about a smaller global supply due in part to the heat wave in Europe, the world's third-largest sugar producer. Maxar Technologies recently said that hot and dry conditions in France and Germany threaten to lower sugar beet yields in the European Union and that India's sugarcane around the Ganges River Ba... Read more