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Barchart
Barchart
Rich Asplund

Sugar Rallies as Dry Weather in Brazil Threatens Sugar Output

March NY world sugar #11 (SBH25) today is up +0.38 (+1.92%), and March London ICE white sugar #5 (SWH25) is up +1.70 (+0.31%).

Sugar prices today are moderately higher, with London sugar posting a 2-month high.  Concern about Brazil's sugar crop is pushing prices higher.  Alvean, the world's largest sugar trader, said below-average precipitation in Brazil means sugarcane is underdeveloped in some areas, and if showers remain weak, the sugar harvest that begins in April could be delayed, and sugar production would suffer.  Also, fund short covering boosted London sugar futures, with today being the last trading day for the March London sugar contract.

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