Sugar #11 Futures Market News and Commentary
July NY world sugar #11 (SBN23) on Wednesday closed down -0.32 (-1.24%), and Aug London white sugar #5 (SWQ23) closed down -5.40 (-0.76%).
Sugar prices Wednesday closed moderately lower. Sugar prices were undercut Wednesday by a rally in the dollar index (DXY00) to a 2-month high. Also, dry conditions in Brazil are facilitating the country's sugar harvest. Rural Clima Meteorlogia said little rain is expected in Brazil through the end of the month. Unica reported on May 12 that Brazil's 2023/24 sugar production through April was up +43.7% y/y at 1.531 MMT and that the percentage of sugarcane crushed for sugar rose to 41.6% from 35.3% last year.
Last month, sugar prices rallied to 11-year highs on the outlook for tighter global supplies. On Apr 26, the Indian Sugar Mills Association (ISMA) cut its 2022/23 India sugar production estimate to 32.8 MMT from a Jan estimate of 34 MMT. India's Food Secretary said India might not allow additional sugar exports this year du... Read more