Investing.com - U.S. soft futures were mixed during U.S. morning trade on Thursday, with sugar and coffee prices regaining strength as investors returned to the market to seek cheap valuations amid speculation prices fell too far too fast.
On the ICE Futures U.S. Exchange, sugar futures for May delivery traded at USD0.1789 a pound, up 0.6% on the day. The May contract rose by as much as 0.75% earlier in the day to hit a session high of USD0.1791 a pound.
Sugar futures found support after wet weather in Brazil caused some delays to the nation's sugar-cane crush. Brazil is the largest producer of sugar cane in the world.
May sugar prices fell to a two-and-a-half-year low of USD0.1747 a pound on April 3, amid the view that global supplies are more than ample to meet world demand.
Meanwhile, Arabica coffee for July delivery traded at USD1.3775 a pound, up 0.9% on the day. The July contract rose by as much as 1% earlier in the session to hit a daily high of USD1.3788 a pound.
Coffee futures fell to USD1.3357 a pound earlier in the week, hovering close to a 34-month low of USD1.3207 a pound hit on March 20.
Coffee traders continued to monitor weather conditions in Brazil, as the country's farmers began harvesting the coffee crop. Brazil is the world's largest producer and exporter of Arabica coffee.
Elsewhere, cotton futures for May delivery traded at USD0.8444 a pound, down 0.25% on the day. The May contract was stuck in a tight trading range between USD0.8414 a pound, the daily low and a session high of USD0.8481 a pound.
Prices of the fiber slumped to a six-week low of USD0.8296 a pound on Wednesday after the U.S. Department of Agriculture said that nearly 8% of the U.S. cotton crop was planted as of last week, up from 5% in the preceding week.
The crop update eased recent jitters over a decline in U.S. and global supplies.
The agency said last week that global cotton inventories in the 2012-13 season was expected to rise to a record high of 82.45 million bales, compared to a month-earlier forecast of 81.74 million bales.
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