Shutterstock photo
Markets

Soft futures; ICE sugar trades near 7-week low with Brazil in focus

Shutterstock photo

Shutterstock photo

Investing.com -

Investing.com - Sugar prices traded near a seven-week low on Tuesday, as investors continued to monitor crop and weather conditions in Brazil.

On the ICE Futures Exchange, U.S. sugar for July delivery fell to a session low of $0.1685 a pound, before coming off the lows to last trade at $0.1691 during U.S. morning hours, down 0.68%.

The July contract ended Monday's session up 0.35% to settle at 0.1698 a pound. Prices of the sweetener fell to a seven-week low of $0.1677 a pound on June 6.

Brazil is the world's largest sugar producer and exporter, with the U.S. Department of Agriculture estimating the nation accounts for nearly 20% of global production and 39% of global sugar exports.

Meanwhile, Arabica coffee for July delivery tacked on 0.39% to trade at $1.6608 a pound. The July coffee contract tumbled to $1.6510 on Monday, the lowest since February 20, before settling at $1.6535, down 3.92%.

Coffee futures have been on a downward trend in recent weeks amid indications global supplies might be on the rise despite uncertainties posed by drought in Brazil.

The bulk of country's Arabica crop is expected to begin harvest in June, when a clearer picture of damage is expected.

Brazil is the world's largest producer and exporter of Arabica coffee. Arabica is grown mainly in Latin America and brewed by specialty companies.

Elsewhere, U.S. cotton for July delivery eased up 0.15% to trade at $0.8468 a pound. The July cotton contract fell to $0.8407 a pound on Monday, the lowest since May 28, before trimming losses to end at $0.8455, down 0.27%.

According to the U.S. Department of Agriculture, nearly 89% of the U.S. cotton crop was planted as of June 8, improving from 74% planted in the preceding week.

Investing.com offers an extensive set of professional tools for the financial markets.

Read more News on Investing.com and download the new Investing.com Stocks & Forex App for Android!

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

ForEx