Breaking News

Soft futures higher; Sugar hits 5-week top on Brazil crop concerns

CommoditiesJun 24, 2013 07:49AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items

Investing.com - U.S. soft futures were mostly higher on Monday, with sugar prices climbing to a five-week high amid concerns over crop prospects in top grower Brazil.

On the ICE Futures U.S. Exchange, sugar futures for October delivery traded at USD0.1706 a pound, up 0.75% on the day.

The October contract rose by as much as 1.3% earlier in the day to hit a session high of USD0.1716 a pound, the strongest level since May 24.

Sugar prices have been well-supported in recent sessions amid concerns sugar growers in Brazil’s center south-region will use more cane to make ethanol as prices for the sweetener tumble.

Sugar prices fell to a three-year low of USD0.1617 a pound on June 13.

Brazil is the world's largest sugar producer and exporter, with the U.S. Department of Agriculture estimating the nation accounts for nearly 20% of global production and 39% of global sugar exports.

Meanwhile, Arabica coffee for September delivery traded at USD1.2015 a pound, up 0.6% on the day. The September contract traded in a tight range between USD1.1873 a pound, the daily low and a session high of USD1.2028 a pound.

Coffee prices plunged to a three-year low of USD1.1717 a pound on June 20, as concerns over ample global supplies drove prices lower.

The coffee market has been under heavy selling pressure in recent weeks as traders eyed a huge harvest in top grower Brazil.

Some technical selling also weighed after prices broke below key support levels, triggering a flurry of automatic sell orders amid bearish chart signals.

Elsewhere, cotton futures for December delivery traded at USD0.8476 a pound, up 0.15% on the day. The December contract fell by as much as 1.7% earlier in the session to hit a daily low of USD0.8416 a pound, the weakest level since June 6.

Cotton traders looked ahead to the release of the U.S. Department of Agriculture’s weekly update on planting progress later in the day to gauge crop prospects.

Soft futures higher; Sugar hits 5-week top on Brazil crop concerns

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Post also to:
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?
Replace the attached chart with a new chart ?
Post 1000
Please wait a minute before you try to comment again.
Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Add Chart to Comment
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
Sign up with Email