SOFTS-Sugar falls to two-month low; espresso recovers from sell-off

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SOFTS-Sugar falls to two-month low; espresso recovers from sell-off


Includes closing costs and feedback

NEW YORK/LONDON, June 18 (Reuters)Uncooked sugar futures on ICE fell to the bottom degree in two months on Friday as a result of a powerful greenback and enhancing crop situations in a number of international locations, whereas arabica espresso recovered from the commodities-wide sell-off the day earlier than.

SUGAR

* July uncooked sugar SBc1 closed down 0.12 cent, or 0.7%, at 16.43 cents per lb, after dipping to a low of 16.32 cents – the weakest value since April 19.

* The July contract SBN1 misplaced 6.1% within the week, weighed primarily by losses throughout a variety of commodity markets together with grains and metals pushed partly by a stronger greenback.

* “Any calibration to sugar’s micro‑fundamentals should wait till this macro‑quake and any aftershocks finish,” Commonwealth Financial institution of Australia analyst Tobin Gorey mentioned.

* Enhancing crop outlooks in India and Thailand following beneficial rains and the robust tempo of manufacturing in Brazil throughout the second half of Might has, nonetheless, additionally contributed to the current weak point in costs.

* August white sugar LSUc1 fell $1.60, or 0.4%, at $423.40 a tonne.

COFFEE

* September arabica espresso KCc2 settled up 0.35 cent, or 0.2%, at $1.5195 per lb.

* The September contract KCU1 misplaced 4% within the week as espresso costs fell at the side of many different commodities.

* Peak Buying and selling Analysis estimates that non-commercial merchants bought 100,000 contracts of agricultural futures on Thursday alone.

* The return of rains in prime producer Brazil has additionally improved the outlook for subsequent 12 months’s harvest, whereas espresso can be now flowing out of Colombia after a current disruption linked to anti-government protests.

* U.S. roasters are scrambling to safe provides of Colombian coffees as a result of provide chain disruption.

* September robusta espresso LRCc2 fell $18, or 1.1%, at $1,616 a tonne.

COCOA

* September New York cocoa CCc2 ​settled down $9, or 0.4%, to $2,372 a tonne. The contract misplaced 1% within the week and hit the bottom value in almost 7 weeks because the market stays effectively equipped even when there’s a pick-up in cocoa processing as economies ease Covid-19 restrictions.

* “The provides are there for any elevated demand,” mentioned Jack Scoville, with the Worth Futures Group in Chicago.

* September London cocoa LCCc2 was flat at 1.626 kilos per tonne.

(Reporting by Marcelo Teixeira and Nigel Hunt; modifying by Elaine Hardcastle, Paul Simao, Philippa Fletcher)

(([email protected]; +1 332 220 8062; Reuters Messaging: [email protected] – https://twitter.com/tx_marcelo))

The views and opinions expressed herein are the views and opinions of the creator and don’t essentially mirror these of Nasdaq, Inc.





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