Raw sugar futures vaulted to their best close in a week on Wednesday due to a late flurry of trade and speculative buying, but operators were uncertain if the market could crawl up in the days ahead, brokers said. The New York Board of Trade's July raw sugar contract jumped 0.11 cent to end at 8.73 cents a lb, dealing between 8.57 and 8.74 cents. October gained 0.09 to 8.82 cents. The rest increased 0.04 to 0.10 cent. Some analysts feel sugar prices should firm in the coming weeks due to stronger consumer buying from Russia, Indonesia and possibly China.
But market bears worry that demand will fade and output should recover in the upcoming 2005/06 season.
Follow-through speculative sales dragged sugar to its lows at the start of business, but the trade stabilised it and then small speculators were forced to cover their positions in the market, traders said.
Comments
Comments are closed.