CSCE raw sugar futures ended softer on Wednesday on light speculative sales in range-bound business, with most of the running in the market taken up by players engaged in switch trades, brokers said.
CSCE March sugar sagged 0.07 cent to finish at 5.68 cents a lb, moving from 5.66 to 5.77. May lost the same and closed at 5.88 cents. Back months fell 0.01-0.06.
The benchmark March contract remains trapped in a band from 5.50-5.60 to 5.85-6.00 cents and shows seemingly little inclination to stage a breakout, they said.
Fundamentally, the market must contend with a supply glut, the likelihood of another record crop in leading producer Brazil, and routine levels of cash demand.
Technicians said resistance in the March sugar contract would be at the zone of 5.88/93 cents, 6.00 and then the gap running from 6.07/10 cents. Support was pegged at 5.65/66 and 5.50 cents.
Final estimated volume reached 23,819 lots, from the previous 32,525 lots. Call volume was at 1,607 lots and puts stood at 917 lots. Open interest in the No 11 sugar market fell 1,048 lots to 265,575 lots as of February 3.
US domestic sugar futures ended flat to firmer Wednesday. March sugar rose 0.04 to 20.40 cents a lb while May was flat at 20.35 cents. Except for one contract, the rest were steady to 0.05 cent firmer. Final traded volume hit 43 lots, from 203 lots previously.
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