London refined sugar futures closed lower on producer and trade selling on Monday, and traders focused on Indonesia's announcement of its 2007 white sugar import quota.
March settled down $11.50 or 3.1 percent to $362.50 per tonne, towards the bottom of the day's range of $376.40 to $358.00. Total volume was 3,209 lots.
Dealers said Thai producers may have been among the day's sellers with trade selling also noted.
Traders focused on an announcement from Indonesia giving details of its white sugar import quota for 2007.
Indonesia is planning to import 200,000 tonnes of white sugar in 2007 in a bid to cover shortages as erratic weather is likely to cut output, a trade ministry statement said on Monday. Traders also referred to talk that Iran had bought 40,000 tonnes of raw sugar for December and January shipment, but there was no immediate official confirmation.
COCOA WEAKENS:
London cocoa futures closed weaker on trade and producer selling against industry buying on Monday, and traders said a report of slow Ivorian bean arrivals underpinned the market.
December settled down five pounds to 811 pounds after prices had held in a narrow range of 818 to 808 pounds. March finished down four pounds to 839 pounds.
Total volume was 10,344 lots. Traders referred to trade, producer and speculative selling against industry buying in moderate volumes.
"Slow bean arrivals are probably underpinning the market a little bit," one trader said, referring to the latest report of bean arrivals from top grower Ivory Coast.
Cocoa arrivals at ports in Ivory Coast from October 1 to December 3 reached around 348,000 tonnes, compared with 414,842 tonnes delivered in the same period last year, exporters estimated on Monday.
Rains were patchy across Ivory Coast's cocoa-growing regions last week, farmers said on Monday, while in the key Daloa and Soubre areas growers said they had seen no precipitation to ease a weeks-long dry spell.
COFFEE LOWER: London robusta coffee futures closed lower on Monday on speculative and origin selling with weakness in New York weighing on the market, dealers said. "Specs and small funds were selling in New York and that pulled London down," one dealer said, noting trade buying in London helped to limit losses. January finished down $13 at $1,422 while March ended $9 lower at $1,437. Total volume was 10,237 lots.
Dealers noted prices in London had held up well until the late New York-driven sell-off despite news that Typhoon Durian had been downgraded to a tropical storm and was seen as a less significant threat to crops in top robusta producer Vietnam.
Key support was anticipated around $1,410, basis January. Thousands evacuated their homes and ships were called in to shore as Typhoon Durian approached Vietnam's coast on Monday, but forecasters predicted it would make landfall as a tropical storm.
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