ICE Futures U.S. Sugar No.11 Contract
Settlement (cUS$/lb) Open High Low Last Volume O/I Life High Life Low
Mar27 18.22 -0.26 ▼ 18.55 18.56 17.96 18.22 75,115 551,519 21.29 14.42
May27 17.72 -0.23 ▼ 18.02 18.04 17.45 17.71 34,807 215,197 20.40 14.29
Jul27 17.38 -0.21 ▼ 17.61 17.66 17.13 17.37 19,405 145,868 19.81 14.27
Oct27 17.40 -0.19 ▼ 17.64 17.66 17.16 17.38 8,653 96,714 19.63 14.45
Mar28 17.79 -0.18 ▼ 17.98 18.03 17.58 17.77 2,969 60,034 19.83 14.97
May28 16.81 -0.19 ▼ 17.03 17.04 16.66 16.78 1,811 26,559 18.77 14.82
Jul28 16.33 -0.20 ▼ 16.50 16.57 16.23 16.30 1,009 19,828 18.10 14.74
Oct28 16.32 -0.20 ▼ 16.50 16.55 16.25 16.29 1,038 17,169 17.91 15.01
Mar29 16.77 -0.21 ▼ 16.98 17.00 16.72 16.81 555 6,954 18.19 16.20
May29 16.42 -0.20 ▼ 16.62 16.64 16.41 16.41 318 2,938 17.74 16.02
Jul29 16.25 -0.09 ▼ 16.41 16.47 16.41 16.47 22 4,249 17.50 16.15
Oct29 16.31 0.06 ▲ 16.22 16.22 16.22 16.22 1 73 16.30 16.22
Total               145,703 1,147,102    
*Volume includes exchange for physicals.

 

 

ICE U.S. Sugar No.11 – Spreads
Date Spread Date Spread
Mar27 / May27 0.50 Oct27 / Mar28 -0.39
Mar27 / Jul27 0.84 Oct27 / May28 0.59
Mar27 / Oct27 0.82 Mar28 / May28 0.98
Mar27 / Mar28 0.43 Mar28 / Jul28 1.46
May27 / Jul27 0.34 May28 / Jul28 0.48
May27 / Oct27 0.32 May28 / Oct28 0.49
Jul27 / Oct27 -0.02 Jul28 / Oct28 0.01
Jul27 / Mar28 -0.41 Jul28 / Mar29 -0.44

 

Despite posting higher opening prints the market responded to yesterday’s recovery with a quick rejection as the lack of any meaningful buying allowed values to be suppressed. March’27 fell quickly from 18.56 to 18.23 as overnight longs liquidated, and following a short pause the selling returned to test the 18.00 area before the morning was through. A low was recorded at 17.96, but significantly we remained above Tuesdays lows and this enabled a return to the teens where prices held ahead of the US morning. Activity remained slow and the sideways track continued through the afternoon as specs largely stood aside for fear of being swung in and out again at a loss should recent movements repeat. There was a push ahead to 18.28 later in the afternoon, but this failed to gain any real traction and prices instead held just short of this market to take March’27 to a close at 18.22, leaving the technical picture unchanged. 

 

ICE Europe White Sugar Futures Contract
Settlement (US$/mt) Open High Low Last Volume O/I Life High Life Low
Dec26 509.90 -1.70 ▼ 510.00 512.60 501.10 509.70 2,798 6,389 567.70 393.20
Mar27 514.80 -5.70 ▼ 519.20 519.30 507.00 515.90 12,489 71,369 577.40 398.00
May27 516.30 -6.00 ▼ 520.80 520.90 509.70 517.10 6,068 31,673 581.80 401.40
Aug27 512.40 -5.80 ▼ 516.50 516.50 506.70 512.60 3,075 18,189 574.30 404.30
Oct27 507.70 -5.20 ▼ 509.20 509.20 502.30 507.90 606 9,167 565.30 408.20
Dec27 504.70 -4.70 ▼ 503.80 506.10 500.20 505.00 164 4,256 558.20 414.30
Mar28 504.00 -4.10 ▼ 501.80 504.50 500.70 504.50 22 975 552.60 421.00
May28 497.50 1.90 ▲ 497.50 502.50 497.50 501.50 32 891 542.80 426.30
Aug28 488.80 1.40 ▲ 491.00 494.20 491.00 493.30 34 628 529.90 431.10
Oct28 481.80 1.20 ▲ 486.00 489.60 484.70 489.60 26 105 520.00 441.70
Dec28 480.80 2.20 ▲ 489.30 490.10 488.00 488.00 22 35 518.10 468.60
Mar29 482.20 -31.60 ▼ 517.10 517.10 517.10 517.10 1 8 517.10 483.20
May29 479.30 1.60 ▲ 474.20 475.60 474.20 475.60 3 7 517.50 473.60
Aug29 476.30 —   — — — — — — — —
Total               25,340 143,692    
*Volume includes exchange for physicals.

 

 

ICE Europe White Sugar – Spreads
Date Spread Date Spread
Dec26 / Mar27 -4.90 Mar27 / May27 -1.50
Dec26 / May27 -6.40 May27 / Aug27 3.90
Dec26 / Aug27 -2.50 Aug27 / Oct27 4.70
Dec26 / Oct27 2.20 Oct27 / Dec27 3.00

 

 

White Sugar Premium
Date Premium Date Premium
Mar27 / Mar27 113.12 Jul28 / Aug28 128.79
May27 / May27 125.64 Oct28 / Oct28 122.01
Jul27 / Aug27 129.24 Mar29 / Mar29 112.49
Oct27 / Oct27 124.10 May29 / May29 117.30
Mar28 / Mar28 111.80 Jul29 / Aug29 118.05
May28 / May28 126.90    
*Values calculated basis 6:11 PM.

 

March’27 plunged on the opening as it followed the lead of No.11 and erased yesterdays gain. The immediate hit saw the price back to $512.60, and with confidence eroded traders started to look to the short side again and maintained pressure across much of the morning. This saw the price reach a low at $507.00 before recovering by a few dollars against short covering / profit taking, leaving us near to where we started yesterday’s movement. There was a small push back to $514.00 early in the afternoon, but the buying interest soon subsided and a prolonged period of sideways trading then followed against low volume. Later in the afternoon some the losses eased and March’27 moved back above $517.00, however given the unconvincing nature of the display today it was to be expected that we remained in the red to the close. Settlement arrived at $514.80 following some late position squaring and we will resume tomorrow with the market still caught within the recent band and appearing no closer to finding its next direction.

Dec’26 moved towards tomorrows expiry with another steady showing from the spreads, as Dec’26/March’27 worked to intra-day highs at -$3.00 before ending at -$4.90. Open interest shrank to 6,389 lots leaving us looking at a moderate sized tender.

 

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Market chart asset

 

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Jon Whybrow

Jon joined CZ in 1991, working in the Treasury department before moving to join the derivatives team in 1994. Over 30 years Jon has built up significant experience across derivatives markets and products, particularly sugar, and is now Head of Flow derivatives providing market execution services for CZ’s global client base. He is responsible for the market commentaries which are published each day on CZ app.

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