[ad_1]
Updates with market activity, comments and closing prices
NEW YORK/LONDON, Feb 7 (Reuters) – Futures of sugar, coffee and cocoa on ICE closed higher on Tuesday as a late wave of fund buying across the commodities and energy complex boosted prices.
SUGAR
* March raw sugar SBc1 settled 0.18 cents, or 0.9%, higher at 20.84 cents per lb, although the contract is remains distant from a six-year peak of 21.86 cents hit last week.
* “Traders seem to feel comfortable adding back risk after last Friday’s strong employment report shock. They are adding long positions ahead of Biden’s optimistic messaging in tonight’s State of the Union,” said Dave Whitcomb, Head of Research at Peak Trading Research.
* Dealers, however, said the market was growing sceptical about official warnings that supply from India, the world’s second largest exporter, will disappoint this season, especially as production has to date run ahead of last season.
* March white sugar LSUc1 rose 1% to $555.20.
* Dealers said a small delivery against March whites was now expected given the falls in open interest.
COFFEE
* March arabica coffee KCc1 settled 1.35 cent, or 0.8%, higher at $1.7705 per lb, having closed up 1.7% on Monday.
* The market continues to derive support from concerns that top producer Brazil’s crop this year may be smaller than previously expected, and that the recovery in ICE certified stocks could peter out below 1 million bags.
* Top washed arabica grower Colombia produced 868,000 60-kg bags of washed arabica coffee in January, equal to output in the same month last year, the national coffee federation said.
* May robusta coffee LRCc2 settled $35, or 1.7%, higher at $2,075 a tonne.
COCOA
* March London cocoa LCCc1 settled 14 pounds, or 0.7%, higher at 2,032 pounds per tonne.
* A new European Union law preventing the import of commodities linked to deforestation risks sidelining small farmers who are unable to meet the cost of compliance, the head of the Roundtable on Sustainable Palm Oil said.
* The law will apply to palm oil, soy, beef, wood, cocoa and coffee and some derived products.
* March New York cocoa CCc1 rose $4, or 0.2%, to $2,581 a tonne.
(Reporting by Marcelo Teixeira and Maytaal Angel; Editing by Emelia Sithole-Matarise and Krishna Chandra Eluri)
((marcelo.teixeira@tr.com; +1 332 220 8062; Reuters Messaging: marcelo.teixeira.thomsonreuters.com@reuters.net – https://twitter.com/tx_marcelo))
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
[ad_2]
Source link
