SOFTS-Sugar, coffee steady with focus on Brazil weatherhttp://af.reuters.com/article/commoditiesNews/idAFL8N1951PD
June 14, 2016 at 1:32 PM
* Harvest weather returns to Brazil's sugar regions
* Weak pound supports London cocoa
By David Brough
LONDON, June 13 (Reuters) - Raw sugar futures on ICE held
steady on Monday near a 2-1/2-year peak with dealers focused on
improving harvest weather in Brazil, while arabica coffee was
little changed as worries over frost risks eased.
A weakening pound, pressured by concerns over the coming
British vote on EU membership, gave support to London cocoa.
Raw sugar steadied, with a focus on improving conditions for
the cane crush in centre-south Brazil.
"The weather across Brazil's centre-south has improved
markedly over the past few days as dry weather returns across
the region allowing the crush to push into top gear again and
port loadings to get back to normal," a broker said.
Dealers noted that speculators again boosted the record net
long position in raw sugar contracts on ICE they have held since
early May in the week ended June 7, according to U.S. data.
"With a massive (and still growing) fund and spec position
in sugar currently, we would have seemed set for a correction
shortly, but this pesky thing called frost has reared its
head," Green Pool Commodities said in a weekly report.
Green Pool was referring to a forecast last week for
isolated frost in Brazil, which supported raw sugar futures, and
drove a rally in arabica coffee.
July raw sugar was up 0.04 cent, or 0.2 percent, at
19.74 cents cents per lb at 1000 GMT, just below Thursday's high
of 19.92 cents last reached in October 2013.
August white sugar was up 40 cents, or 0.08 percent,
at $529.40 per tonne.
Arabica coffee futures dipped slightly, moving further away
from Thursday's 13-month high, pressured by a weaker oil market,
with worries over a possible impact from frost on the Brazilian
arabica crop receding.
Traders said the risk of frost was largely worked in to
July arabica coffee was down 0.3 cent, or 0.2
percent, at $1.3665 per lb, well below the 13-month peak of
$1.45 on Thursday, when forecasts for frost in isolated parts of
Brazil caused record futures volume.
July robusta was down $1, or 0.06 percent, at $1,642
per tonne, underpinned by a very poor crop in Brazil due to
London cocoa prices were higher, supported by weakness of
the pound on concerns that Britons might vote to leave the
September London cocoa was up 21 pounds, or 0.9
percent, at 2,284 pounds per tonne while September New York
cocoa was off $18, or 0.6 percent, at $3,081 per tonne.
(Editing by Adrian Croft)
July 9, 2018
Surging ethanol stockpiles and tumbling prices for the biofuel risk bringing back more sugar production in top grower Brazil. “Prices have been coming down, ethanol stocks are building. Demand is strong but is probably not sufficient to clear the stocks,” said Tom McNeill, a director at Brisbane, Australia-based researcher Green Pool Commodity Specialists. “I think this assumption that everyone has made that maximum ethanol is absolutely locked in could be challenged within the next three months.”Read More
May 4, 2018
July raw sugar settled down 0.06 cent, or 0.5 percent, at 11.69 cents per lb. Focus remained on a global supply glut, with commodity analyst Green Pool forecasting a combined sugar surplus of almost 25 million tonnes for the 2017-18 and 2018-19 seasons.Read More
May 3, 2018
The world’s sugar traders are experiencing the biggest ever global surplus. That’s according to Green Pool Commodity Specialists, which expects the glut to reach 18.4 million metric tons this season. The Brisbane, Australia-based researcher boosted its estimate by almost a quarter because of a massive increase in the sugar-cane area and yields in India, the No. 2 producer.Read More
May 2, 2018
For sugar, there’s no sweet ending in sight after a long period of declining prices. Australia-based consultancy Green Pool recently upped its surplus estimate by 43% to almost 15 million tons. The International Sugar Organization, the global trade body, sees a surplus of 5.2 million tons.Read More
March 29, 2018
Green Pool signalled further weakness ahead of sugar prices, lifting its forecasts for the world production surpluses this season and in 2018-19, and heralding a further one in 2019-20.Read More
February 23, 2018
Global sugar prices have tumbled about 33 percent in the past year on a global surplus as production increases in Europe and India. ISMA last month raised its 2017-18 sugar output estimate 4 percent to 26.1 million tons, the highest in three years. Green Pool Commodity Specialists this week forecast Indian production at 28.1 million tons, with expectations of an equal or better crop next season.Read More
February 6, 2018
Green Pool hinted at downbeat prospects for sugar prices as it raised its estimate for the production surplus for this season, forecast another stockbuild in 2018-19, and said a third one could be in the offing.Read More
January 3, 2018
March raw sugar settled down 0.02 cent, or 0.13 percent, at 15.31 cents per lb after peaking at 15.37 cents, its highest since Nov. 28. But focus on bearish fundamentals returned after closely-watched commodity analyst Green Pool on Wednesday raised its projections of a global surplus in 2017/18 to 10.43 million tonnes, up from a forecast of 9.8 million. [nL8N1OY1Q7Read More
January 3, 2018
Green Pool hinted at the potential for sugar price weakness as it lifted to a 15-year high its forecast for the extent of supplies of the sweetener, citing strong production prospects in the likes of India and Thailand. The Australian-based analysis group raised by 629,000 tonnes to 10.43m tonnes its forecast for the world sugar production surplus in 2017-18 - while reducing by 664,000 tonnes to 1.11m tonnes its estimate for the output shortfall last season.Read More