Subscribe Login
Drinks

Raw Sugar Rises 2%, Coffee Gains As 'Risk-On' Mode Lifts Commodities

By Dave Simpson

Raw sugar futures on ICE steadied on Tuesday 13 December, boosted by near-term supply tightness and somewhat reduced concerns about inflation in the wider financial markets.

Arabica coffee rose again, even after surging more than 5% on Monday 13 December.

Sugar

* March raw sugar SBc1 ​settled up 0.38 cent, or 2.0%, at 19.76 cents per lb, having slid 1.1% on Monday 12 December.

Get a FREE Digital Subscription!

Enjoy full access to Hospitality Ireland, our weekly email news digest, all website and app content, and every digital issue.

Processing your request...

Thanks! please check your email to confirm your subscription.

By signing up you are agreeing to our Terms & Conditions and Privacy Policy

* Dealers said the market is being boosted by near-term supply tightness and an overall reluctance by funds to liquidate their long positions.

* France's farm ministry estimated sugar beet output fell 8.2% this year versus last.

* On the downside however, there remains some pressure from data out on Monday 12 December showing top producer Brazil's sugar production in the second half of November was up six-fold versus a year ago, dealers said.

* March white sugar LSUc1 rose $6.30, or 1.2%, at $540.30 a tonne.

Coffee

* March arabica coffee KCc2 settled up 0.85 cent, or 0.5%, at $1.679 per lb, after surging 5.6% on Monday 12 December.

* "This is risk-on ... if you're long, cheap and oversold in dollar-sensitive markets like wheat or coffee, this is your best possible CPI outcome," Peak Research said in a note, referring to the US inflation data.

* Dealers said there remained concerns about the outlook for the coffee crop next year in top producer Brazil.

* Data showed Brazilian coffee exports jumped 19% year-on-year in November amid improved shipping conditions.

* March robusta coffee LRCc2 fell $12, or 0.6%, to $1,872 a tonne.

Cocoa

* March New York cocoa CCc2 rose $39, or 1.6%, to $2,541 a tonne.

* Rainfall was below average last week in most of top producer Ivory Coast's cocoa-growing regions, but soil moisture remained adequate for the development of the cocoa mid-crop.

* Cocoa arrivals at ports in Ivory Coast reached 954,000 tonnes by 11 December since the season start on 1 October, up 10% year-on-year.

* March London cocoa LCCc2 rose 20 pounds, or 1.0%, to 1,951 pounds per tonne​​.

News by Reuters, edited by Hospitality Ireland. Click subscribe to sign up for the Hospitality Ireland print edition.

Enjoy a FREE Digital Subscription
Enjoy full access to Hospitality Ireland, our weekly email news digest, all website and app content, and every digital issue.
Enjoy a FREE Digital Subscription
Enjoy a FREE Digital Subscription
Enjoy full access to Hospitality Ireland, our weekly email news digest, all website and app content, and every digital issue.
Enjoy a FREE Digital Subscription