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Barchart
Barchart
Rich Asplund

Sugar Prices Slump as Crude Oil Plunges

May NY world sugar #11 (SBK26) on Wednesday closed down -0.35 (-2.40%), and May London ICE white sugar #5 (SWK26) closed down -6.40 (-1.49%).

Sugar prices extended their week-long slide on Wednesday, falling to 3-week lows.  Wednesday's 16% plunge in crude oil prices (CLK26) weighed on sugar prices as weak crude prices undercut ethanol prices, potentially encouraging the world's sugar mills to increase sugar production at the expense of ethanol, thus boosting sugar supplies.  

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