Daily Market Price Updates and Commentary 27th March 2025

Raw Sugar Updates

May’25 nudged back down into the 19.20’s as we opened, and remained in this same are through a slow opening period with the enthusiasm having been sucked out of many trades by this week’s movement. A further slip into the teens was the only other feature of a quiet morning until some pre-NY buying arrived in an effort to garner a response from US specs when they came online. It served to bring May’25 up to 19.36 however the recovery was over almost as quickly as it started with the outright values returning to morning lows across the next hour. A break lower then triggered a reasonable volume of day trader and spec selling which pushed the price beneath 19.00 to a daily low of 18.94 although short covering rode back in and pulled the value back up by around 0.20 points. The flat price struggles were encouraging selling into May/Aug’25 again as it narrowed to 0.25 points, though overall trades in the region of 19c for a market that has shown a broad 18c/20c range over recent weeks mean little. May’25 dug in ahead of 19c through the last couple of hours and eventually reached settlement at 19.09, concluding another slow day that leaves the market no closer to finding any real direction. 

White Sugar Updates

An unchanged opening provided the prelude to another slow morning during which trading was limited to a narrow range. With so little occurring the price did start to drift lower with May’25 having dropped to $537.80 ahead of noon, though as with yesterdays trading the slight price movement meant little in the scheme of the wider range in which we are situated. A small nudge back to $540.00 failed to generate any new buying interest and instead it was the failure to recover that drew out some fresh selling / long liquidation to accelerate the front month decline to $532.50. With some smaller traders now showing interest, we saw activity levels remain a little higher through the rest of the afternoon as the price moved back to the mid $530’s, and while still quiet this movement did at least bring the May/May’25 arbitrage back from the doldrums of $114.00 to be trading again at $116.00. There was also some positive movement for the May/Aug’25 spread as it saw intra-day highs at $11.00, and while its recent struggle may have signaled the flat price stall it also suggests there is no current appetite to slide and test the bottom of the range. The later stages remained quiet and while some late short covering brought May’25 back to $537.80 and reduced the losses slightly it did not change things with the market still appearing rather lost.