Sugar #11 Mar’22
A lower call did not appear as buying placed right on the opening brought March’22 in above 19.80 and the gains continued through the first couple of hours to push the price through 20c and on to 20.08. With macro strength being seen there was naturally some interest from day traders and smaller specs to play from the long side but as we have seen so aften this can only take the market so far and when their buying eased so we settled back to hold just beneath 20c. The continuing thin conditions have fuelled some intra-day volatility and today was no different with the start of the US day encouraging a little more spec buying into the fray and so taking the price to a new daily high mark at 20.15. While the potential remains the scenario played out in identical fashion to the morning as the buying petered out and some long liquidation occurred, leaving the price in familiar surroundings just beneath 20c once more. Spreads were also quiet with only the Oct’21/March’22 attracting any significant interest as hedges continue to be moved forward/closed out ahead of next weeks expiry, today seeing the differential recover back up to -0.73 points intra-day before weakening again later in the afternoon. March’22 worked back above 20c during the final hour with MOC buying ensuring a positive settlement level at 20.07 though there remained little to suggest we will not simply continue to tread within the same broad range.
Sugar #5 Dec’21
The past two sessions have seen the price see-saw as we try for gain a foothold in the aftermath of Friday’s weakness and the fun and games continued today with initial buying seeing the market try to build once more. Dec’21 quickly moved to the $507 area as we broke above yesterdays high and though there was a pause as the buying eased we did not fall back by very far, such was the lack of selling in the thin conditions. By late morning the price was trying higher once more and this move achieved a high at $510.00 early in the afternoon but for a second time the momentum was lost as a lack of depth in the buying and subsequent long liquidation/profit taking sent the price back into the range. The depth to both sides of the market provides a belief that any news of substance could provoke quite a reaction in either direction as there will be little resistance so it is sad that with nothing apparent on the horizon we may have to resign ourselves to a continuation of the current tedium for the time being. Light buying during the closing stages took the price back up to settle at 508.20, adding some gloss to an otherwise dull session.
ICE Futures U.S. Sugar No.11 Contract
ICE Europe Whites Sugar Futures Contract
