May 4, 2020 / 12:59 PM / a month ago

SOFTS-Raw sugar falls after sharp gains as oil declines

LONDON, May 4 (Reuters) - ICE raw sugar futures fell on Monday as the market corrected after gaining nearly 13% last week, and as oil prices fell, with U.S.-China trade tensions rebounding amid the fallout from the coronavirus pandemic.

SUGAR

* July raw sugar was down 0.14 cents, or 1.3%, to 10.83 cents per lb at 1237 GMT, having hit a one month high on Friday as it recovered decisively from a 12-1/2 year low set earlier last week.

* Oil prices fell as investors feared a global glut may persist even as coronavirus pandemic lockdowns start to ease, and amid a fresh spat between the United States and China over the origin of the virus.

* Falling energy prices encourage Brazilian cane mills to ramp up sugar output at the expense of ethanol, a cane-based biofuel.

* Broker Marex Spectron said there was no fundamental justification for last week’s rally, citing evidence of a fall in fuel consumption of more than 40% in Brazil in April.

* “The implication is (Brazilian) cane factories are going to have to keep making maximum sugar/minimum ethanol, and the implication of that is we are facing a big surplus,” said the broker.

* ICE raw sugar speculators increased their net short position by 15,834 contracts to 75,897 in the week to April 28, CFTC data showed.

* Britain’s Tate & Lyle said U.S. demand for its sugars and syrups used by restaurants, cinemas and other public facilities fell in April as thousands of businesses remained closed by coronavirus lockdowns.

* Mexico said Washington will keep an agreement regulating Mexican sugar exports into the United States active for another five years.

* August white sugar fell $0.60, or 0.2%, to $350.70 a tonne, having hit its highest since mid-April.

COFFEE

* July arabica coffee fell 0.5 cents, or 0.4%, to $1.0560 per lb, having hit its lowest in nearly 1-1/2 months last week.

* Arabica lost nearly 12% of its value in April as the prospect of a large harvest in Brazil weighed.

* ICE arabica coffee speculators cut their net long position by 3,681 contracts to 6,398 in the week to April 28.

* July robusta coffee fell $20, or 1.7%, to $1,185 a tonne.

* Indonesia exported 11,171 tonnes of robusta coffee beans from Sumatra’s Lampung province in April, more than double last year’s level.

COCOA

* July New York cocoa was down $7, or 0.3%, at $2,394 a tonne.

* New York cocoa speculators increased their net short position by 1,502 contracts to 15,734 contracts in the week to April 28.

* Cocoa arrivals at ports in top grower Ivory Coast reached 1.753 million tonnes between Oct. 1 and May 3, exporters estimated, down 5.7% from year ago levels.

* July London cocoa rose 29 pounds, or 1.5%, to 1,914 pounds a tonne​, helped by a fall in sterling.

Editing by Kirsten Donovan

Nuestros Estándares:Los principios Thomson Reuters
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below