LONDON: Arabica coffee futures on ICE turned higher on Wednesday after earlier dipping to a two-month low with the market finally finding support after falling for seven consecutive sessions.

December arabica coffee was up 0.45 cents, or 0.4%, to $1.1110 per lb at 1413 GMT, rebounding from an earlier two-month low of $1.0905.

Dealers said the market had become technically oversold after its prolonged slide while prices were also underpinned by declining exchange stocks.

The recent fall has been driven partly by an improving outlook for the 2021/22 coffee crop in Brazil following recent rains and the recent weakness of the currency of the world’s top producer and exporter.

November robusta coffee fell $6, or 0.45%, to $1,335 a tonne.

March raw sugar was up 0.08 cent, or 0.6%, at 13.49 cents per lb after setting a one-month high of 13.57 cents.

Dealers said the market had been supported mainly by technical factors, with supplies ample following strong production in Brazil this year, while the outlook for crops in India remains favourable.

“Sugar prices are quite resilient despite rather bearish fundamentals,” analysts Agritel said in a market update, noting most analysts were forecasting a global surplus in the upcoming 2020/21 season.

December white sugar rose $3.20, or 0.9%, to $375 a tonne.

December London cocoa rose 10 pounds, or 0.5%, to 1,865 pounds per tonne.

December New York cocoa was up $24, or 0.9%, at $2,580 a tonne.—Reuters