May NY world sugar #11 (SBK25) Wednesday closed up +0.34 (+1.94%), and August London ICE white sugar #5 (SWQ25) closed up +7.20 (+1.47%).
Sugar prices Wednesday rose moderately as a weaker dollar (DXY00) sparked short-covering in sugar futures. Sugar prices have been on the defensive this week, with NY sugar posting a 2-1/2 year nearest-futures low Tuesday and London sugar posting a 2-3/4 month low Wednesday. The outlook for abundant rain in India that leads to a bumper sugar crop is undercutting sugar prices. On Tuesday, India's Ministry of Earth Sciences projected an above-normal monsoon this year, with total rainfall forecast to be 105% of the long-term average. India's monsoon season runs from June through September.
