ICE raw sugar futures were up, rebounding from previous seven-month lows. Futures were weighed by an oversupply for near-term availability during the harvest's peak in top producer Brazil, combined with sizeable stocks in Thailand, the second largest exporter, and in China, a leading importer. ICE October raws traded 0.05 cents higher or 0.3 percent at 15.18 cents a pound after earlier declining to its seven-month low of 15.03 cents, reports Reuters.
Sugar mills are stocking sugar and ethanol to equip themselves for a longer inter-harvest period, as a result of an early end to Brazil's sugarcane crushing season. They expect these factors to support sugar prices into next year.
Commerzbank said in a market note on Friday to Reuters, "In our opinion, the phase of low sugar prices is unlikely to last for much longer. This is also backed up by the fact that it is more profitable for sugar mills to produce ethanol at present."
Liffe October whites traded lower by $0.60 or 0.1 percent at $417.00 a ton. Meanwhile, Arabica coffee for December delivery rose 0.1 percent at $2.0245 a pound, rebounding from a mid-session low of $1.9530 a pound, according to The Wall Street Journal.
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