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Barchart
Barchart
Rich Asplund

Sugar Prices Retreat on Weakness in Crude Oil and the Brazilian Real

July NY world sugar #11 (SBN23) on Wednesday closed down -0.27 (-1.07%), and Aug London white sugar #5 (SWQ23) closed down -10.70 (-1.51%).

Sugar prices Wednesday posted moderate losses.  Weakness in crude prices and the Brazilian real Wednesday weighed on sugar prices.  Crude (CLN23) fell to a 3-1/2 week low, which undercuts ethanol prices and may prompt the world's sugar mills to divert more cane crushing toward sugar than ethanol, thus boosting sugar supplies.  Also, the Brazilian real (^USDBRL) Wednesday tumbled to a 2-month low against the dollar, encouraging Brazil's sugar producers to increase export selling.  

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