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News


Coffee rises; sugar steadies before Brazil crush data
Date: 16 Jul 2016
Source: The Business Line
Reporter: Reuters
News ID: 5761
Pdf:
Nlink:
LONDON, July 15 (Reuters) - Coffee futures hit multi-month
highs on Friday, underpinned by tight supplies, while sugar
steadied before Brazilian cane industry data expected to show a
vigorous crush in the second half of June.
    Cocoa eased, but was supported by concerns over tight
supplies in the run-up to the West African main crop harvests.
    Coffee rose on roaster buying, and was underpinned by tight
global robusta stocks and concerns over the quality of new crop
Brazilian arabica beans.
    "The strength of the arabica market is pushing the entire
coffee complex," a senior coffee trader said.  
    "There is talk that roasters still need to cover September
positions."
    September arabica was up 1.75 cents, or 1.15 percent,
at $1.5390 per lb at 1121 GMT, after touching a 16-month peak of
$1.5465 per lb. 
    September robusta was up $14, or 0.8 percent, at
$1,856 per tonne, after touching a 16-month high of $1,864.
    Raw sugar futures steadied, but were pressured by a brisk
cane crush in centre-south Brazil, with attention focused on the
release of the latest crush data from industry group Unica at
1300 GMT.
    Cane crush volumes in Brazil's centre-south in the second
half of June were expected to total 47.07 million tonnes, 0.6
percent higher than the same period last year, an S&P Global
Platts survey of analysts showed.
    "As the second half of June was completely dry in
centre-south Brazil, with no days lost to rain and crushing
activities in full swing, we expect a big crush number," said
Claudiu Covrig, an analyst at Platts Kingsman.
    Dealers cited expectations of a small delivery of Latin
American, mainly Brazilian, sugar against expiry of the London
August white sugar futures contract on Friday.
    October raw sugar on ICE was down 0.16 cent, or 0.8
percent, at 19.75 cents per lb.
    October white sugar was down $4.20, or 0.8 percent,
at $540.40 per tonne. 
    September London cocoa was down 5 pounds, or 0.2
percent, at 2,474 pounds per tonne. 
    September New York cocoa was down $10, or 0.3
percent, at $3,147 per tonne.
 
  

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