Daily Market Price Updates and Commentary 2nd July 2025

Raw Sugar Update

The crash to lower levels seen yesterday drew out some fresh physical activity and the resultant hedge lifting dominated early trading and lifted Oct’25 back into the low 15.90’s. These gains endured throughout the first two hours with highs registered at 15.97, though by late morning the inability to work through 16.00 was starting to bring some selling back to the market and so the price eased back a small way. This set the tone for the specs/funds to send more selling into the market through the early afternoon and wipe out the gains in their entirety as Oct’25 was pushed down through 15.60. A second wave of selling soon afterwards had the price spiking down to 15.45 against size, and by now the market appeared beaten with buyers hard to find and the pressure maintained. The fall was uniform for nearby positions with Oct’25/March’26 remaining either side of -0.75 points and we reached the final hour with marginal new lows being registered at 15.44. There was a small element of respite through the final stages as short covering/profit taking brought the market away from the lows, but with no other buying interest to be found this merely led to a close at 15.58 that maintains the weak technical outlook. 

White Sugar Update

Oct’25 whites opened higher as the followed the lead of No.11 and continued ahead through the early part of the day with moderate buying taking the price up to $461.20. This erased a chunk of this week’s losses but to reverse more fully we require some meaningful news that will inspire the market and turn the technical picture away from its current negative leaning. The gains were sustained for much of the morning but as time passed there was a gradual slide away from the highs and the market started to question the dead cat credentials of what we had seen. This drew back some spec selling and so moving into the afternoon there was a fall in prices which erased all the gains and left Oct’25 showing a small net loss. The rest of the board was following suit, while at the top of the board Aug’25 moves into its final couple of weeks with another good volume heavily dominated by Aug/Oct’25 spread rolling. This saw a far wider spread range than yesterday with highs at $12.10 on the morning rally, though as additional selling sent the market down to session lows later in the afternoon, so the spread narrowed to $6.00. With no technical support to be found Oct’25 made another new low at $448.40 before moving back up by a couple late in the day as positions were squared off. This led to a close at $450.50 though the chart picture means that the market remains very weak moving forward.