London sugar dips

London white sugar futures closed lower after a session dominated by structural trades, Against Actuals (AAs) and speculative profit-taking on Tuesday, traders said.
Benchmark May settled down $7.00 or 1.47 percent at $470 per tonne in volume of 4,526 lots after trading from $478.1 to $469.1.
August finished down $7.8 or 1.61 percent at $476 in volume of 4,503 lots, having moved from $484.9 to $475.0.
"The volume was mainly in spreads and AAs," one trader said, noting a lack of physical demand underpinning the market.
Traders noted speculative profit-taking and said the market appeared set to remain in a trading range in the near term.
There are several bullish factors for sugar, but there may not be a supply deficit in raws this season as expected by some industry analysts, according to a report released on Tuesday by brokerage house FIMAT.
The European Union should produce 20.46 million tonnes of sugar, white value, from its 2005/06 beet campaign, up from the 19.93 million turned out in the previous season, European Commission data showed on Tuesday.
More than half Britain's beet sugar drilling has taken place in generally average conditions, although heavy rain delayed work in northern England, a British Sugar official said on Tuesday.
COCOA LOWER:
London cocoa futures closed lower on Tuesday on speculative selling in a market also influenced by currency fluctuations, dealers said. Benchmark May closed down 19 pounds at 906 pounds a tonne having moved from 929 to 904 pounds. The July contract finished down 18 pounds at 910.
"We got some momentum in the market which pushed us lower, but the market lacks confidence to push on through," a trader said. He said the market remained well supported by trade buying. "We're back to the mid-point of our recent range," he said.
Since mid-March, May has ranged between 929 and 890 pounds.
Another trader said that the move lower mainly reflected currency fluctuations.
COFFEE DOWN: Liffe robusta coffee futures closed lower on Tuesday as London tracked New York down amid producer and speculative selling, dealers said.
Benchmark May robusta ended down $5 at $1,101 a tonne while July fell $5 to $1,117.
Since the middle of March the London robusta May contract has traded between $1,150 and $1,083.
"London is struggling to move one way or another...we are languishing right in the middle of the range," one trader said.
He said the market was well supported around $1,100, basis May, mainly by roaster and trade buying.
London had been following New York and fell back when the US market was unable to hold gains. "The market has been under pressure for some time and the bulls have been reluctant to get involved," the trader said.