ICE sugar rises on light short-covering
Published: 05/16/2018, 9:11:23 AM
ICE July raw sugar settled up 0.26 cent, or 2.3%, at 11.52 cents per lb, according to Reuters.
Prices were buoyed by light short-covering by funds, which remain heavily bearish in the commodity due to expectations for a large global surplus, traders said.
Participants were also monitoring weather in top grower Brazil, where light rains are expected this week but may not be enough after a recent dry spell, dealers said.
Thailand has allocated an additional 300,000 tonnes of raw sugar for ethanol production this year, amid weak prices and a large global surplus.
ICE August white sugar settled up US$1.30, or 0.4%, at US$322.40 per tonne.