According to Karvy, Sugar futures may trade on sideways on mixed sentiment of spot market. Supply glut at major trading center may prompt speculators to offload their positions where as expected delay in the crushing activities in coming season may support the sugar prices.

Karvy's report on Sugar Sugar futures traded on negative bias on yesterday following cues from spot market.. Supply pressure of sweetener led the prices to remain unchanged at major trading centers. S-grade traded at Rs.2150 to Rs.2250 per quintal where as M-grade traded at Rs.2300 to Rs.2400 per quintal at Vashi Mumbai whole sale market. Area used for sugar plantation in India for year 2015-16 is higher as around 44.29 lakh hectare was sown under cotton higher by 0.8% year/year Meanwhile dry weather condition in Brazil supported cane harvesting and crushing activities in most of the region led ICE October sugar futures to close down at 12.46 cent, lower by 1.42% against the previous close.

Outlook and Strategy Sugar futures may trade on sideways on mixed sentiment of spot market. Supply glut at major trading center may prompt speculators to offload their positions where as expected delay in the crushing activities in coming season may support the sugar prices. Most of the sugar mills in Maharashtra and Uttar Pradesh have refused to start the crushing activities in coming session due to higher FRP which may support the sugar prices in coming days.