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Barchart
Barchart
Rich Asplund

FORGOTTEN HISTORY: Sugar prices undercut by weak crude prices - The Untold Story

October NY world sugar #11 (SBV24) today is down -0.04  (-0.21%), and Oct London ICE white sugar #5 (SWV24) is down -0.90 (-0.17%).

Sugar prices today fell back from 1-week highs and are slightly lower.  Weakness in crude prices today sparked long liquidation pressures in sugar after crude (CLU24) tumbled to a 7-week low.  Lower crude prices undercut ethanol prices and may prompt the world's sugar mills to divert more cane crushing toward sugar production than ethanol, thus boosting sugar supplies.

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