Raw sugar futures settled higher on Tuesday on investment fund buying inspired by a softening dollar, but brokers said business was modest and most players will continue to look at outside markets for leads. The October sugar contract rose 0.24 cent to end at 13.61 cents per lb, moving from 13.19 to 13.69 cents.
March gained the same to 14.83 cents, trading from 14.43 to 14.90 cents. Volume traded in the October contract was at 28,701 lots at 1:54 pm EDT (1754 GMT). Many analysts feel sugar still has room to roam higher, given the fact that yields in Brazil are seen going down due to recent rains and a fall in production in number 2 producer India which is expected to result in sizeable sugar imports.
Another factor favouring a rise in sugar values would be a steady rise in consumer demand, they said. The domestic No 14 sugar market showed the November contract trading steady at 23.30 cents at 1:54 pm. Volume in the November contract stood at 135 lots. Volume traded Friday in the entire No 14 sugar market was at 25 lots, exchange data showed.
Comments
Comments are closed.