Daily Market Price Updates and Commentary 28th April 2025

Raw Sugar Updates

Despite starting with trades at unchanged it proved to be a tough opening period for the market as selling soon arrived to send Jul’25 tumbling back through 18.00 with barely 20 minutes of trading having elapsed. The pace of decline then slowed but the reversal continued along slowly, only finding some respite as the selling eased up after reaching 17.83. The interlude was assisted by the start of scale buying with consumers showing some fresh interest to price again on the drop, and though the decline resumed during the later morning / early afternoon this kept it at a more sedate pace. Reasons for the decline were varied, with some attributing the fall to continued macro uncertainty and a wobble for the energy sector, while the still high May’25 open interest figure at 66,417 will be playing on traders minds as it points towards a potential large tender on Wednesday, a concern being reflected in the May/Jul’25 spread as it continues at a small discount. Lows at 17.65 were still away from the levels seen over the past couple of weeks, and when some short covering arrived to bring the price back to 17.90 the picture felt a little more comfortable again. This deterred much fresh involvement from generating and a tight sideways band played out through the final three hours to an eventual close at 17.85, one which will disappoint the bulls after last weeks effort though not materially impacting the wider picture.

White Sugar Updates

There was an immediate plunge lower as the market followed the lead of No.11 on the opening, and across the first couple of hours there was no real respite for the market as sellers steadily chipped away at Aug’25 and sent the price to the $502.00 area. A degree of short covering provided a break in the decline ahead of noon; however, sentiment had set in and so more selling emerged for the early afternoon to push the price back to an eventual low at $498.30. It was not just the flat price suffering a reversal of recent fortunes as Aug/Oct’25 was sold back down to $7.90 and the Aug/Jul’25 arbitrage value narrowed to $109.00, though both values were able to show some recovery once the flat price moved back above $500.00. The recovery was driven by small trader short covering, and with pricing scales prevalent at the lower level’s traders proved reluctant to take on fresh positions and the market settled down to a tight range. This prevailed through the final couple of hours as Aug’25 pinned itself to the $505.00 area, seeing only limited interest and limping towards the close. Settlement was reached at $505.40, representing a sizable loss but still within recent confines.