NYBOT raw sugar ended higher Friday on steady speculative fund and trade buying, with the sweetener poised to scale levels not seen since 2001 on the back of bullish fundamentals and technicals, brokers said.
March sugar surged 0.12 cent to settle at 9.02 cents a lb, moving between 8.92 and 9.10 cents. A close above 9.20 cents, basis the spot month, would shove sugar to a three-year high. May rose 0.11 to 9.08 cents and the rest gained 0.07 or 0.08 cent.
"We have the fundamentals and the technicals lined up on the same side," said James Cordier, an analyst for Liberty Trading Group.
Technically, the market is building momentum to race past the contract high in March of 9.10 cents. Fundamentally, a supply deficit in 2004/05 and strong consumer buying is seen stoking a further rally in the sweetener, he added.
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