Adds comments and closing prices
NEW YORK/LONDON, Feb 24 (Reuters) – Raw sugar prices on ICE fell on Friday, as the market consolidates after hitting a six-year high this month. ICE New York cocoa futures slipped after touching a one-year high this week, while arabica coffee prices fell from this week’s four-month peak.
Data on consumer spending and inflation in the U.S. led some investors to sell higher-risk assets such as commodities.
SUGAR
* March raw sugar SBc1settled down 0.3 cent, or 1.4%, at 21.28 cents per lb. The contract lost 0.6% in the week.
* Dealers said there is good support for sugar below 20 cents because near-term supplies remain tight. They noted, however, that funds are likely to remain heavily long on sugar and may not increase their position much more.
* A bigger Brazilian sugarcane crop is expected to result in more of the biofuel hydrous ethanol being used to fill cars this year than in 2022, broker and analyst StoneX said.
* There is still no decision from the Brazilian government about reinstating federal taxes on fuels, which was expected to happen in March.
* May white sugar LSUc1 fell $12.70, or 2.2%, to $562.00 a tonne.
COFFEE
* May arabica coffee KCc2settled down 2 cents, or 1.1%, at $1.877 per lb after hitting a four-month high of $1.9415 this week. The contract rose 1% in the week.
* “From today’s prices, we turn neutral to mildly bearish,” Rabobank said in a note. “The bullish view of our November and January reports has materialised (and) Central American sales and exports have improved.”
* Brazilian Trade Ministry data showed coffee exports fell 45% in February and broker HedgePoint cut its projection for the new crop.
* May robusta coffee LRCc2 fell $10, or 0.5%, to $2,151 a tonne.
COCOA
* May New York cocoa CCc2settled down $22, or 0.8%, to $2,748 a tonne, having hit a one-year high of $2,812 on Tuesday. It lost 1% in the week.
* Ivory Coast’s cocoa regulator has restricted 20 major traders, including Cargill and Barry Callebaut, from purchasing beans for export after they reached their buying limits.
* May London cocoa LCCc2fell 3 pounds, or 0.1%, to 2,116 pounds per tonne.
(Reporting by Marcelo Teixeira and Maytaal Angel; Editing by David Goodman, Louise Heavens and Shailesh Kuber)
((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.
