As most of the commodity sector has seen a pullback in recent sessions, sugar futures have retreated slightly, but still remain relatively strong.  The spot #11 contract is now just shy of 26 cents, which is still high when viewing the chart over the last six months.  The first reason for sustained prices in the [...]

Author: Michael Ferrari, PhD
VP, Applied Technology & Research

The above graphic from the Indian Met Department shows the advance of the 2011 Monsoon as compared to typical onset milestone dates.  As we can see by the progression as of 29-30 May, as well as on the inset map, the convective activity originating over the southern subcontinent [...]

Author: Michael Ferrari, PhD
VP, Applied Technology & Research
Sugar may start to turn constructive on analyst reports of a smaller than expected crop.  We noted yesterday that one high-profile estimate has recently called for a 10.6 mmt surplus in 2011/12, which follows a slight return to positive supply balances in the current marketing year.  However, as [...]

Author: Michael Ferrari, PhD
VP, Applied Technology & Research
World Sugar futures have dropped off from the recent highs in February (crossing 35 cents) down to a current range just under 22 cents; see FinViz chart below for recent performance of the July11 contract.  The spot price is now below both the 50 and 200 day moving [...]

The US beet crop is well behind schedule for spring planting, in part due to the cold and wet pattern that has been persistent over the last month.  The Red River at Fargo has come down, but is still well above flood stage (see NOAA chart below); the recent flooding which has extended into potential [...]

The attached document highlights some of the factors that Weather Trends is looking at for the 2011 Indian Monsoon, as reported by Bloomberg.