Sugar Market Update: ICE Sugar No. 5 Shows Modest Recovery
“Prices Inch Higher Across All Contracts Amid Positive Momentum”
On January 10, 2025, ICE Sugar No. 5 futures saw modest gains across all contracts, indicating slight optimism in the market. This follows recent declines, as buyers capitalized on lower prices, providing temporary support to the sugar market.
1. Market Developments (As of January 10, 2025)
The closing prices in EUR (based on an exchange rate of 1 USD = 0.92 EUR) are as follows:
- March 2025: €463.22/t (+0.38%)
- May 2025: €466.81/t (+0.49%)
- August 2025: €457.61/t (+0.54%)
- October 2025: €453.47/t (+0.55%)
- December 2025: €453.56/t (+0.61%)
- March 2026: €454.66/t (+0.59%)
- May 2026: €451.72/t (+0.55%)
- August 2026: €448.78/t (+0.64%)
- October 2026: €447.64/t (+0.58%)
2. Observations and Trends
- Broad Recovery: Gains across all maturities, with August 2026 seeing the largest increase of +0.64%, reflecting a positive market adjustment.
- Short-Term Gains: March and May 2025 contracts experienced moderate growth of +0.38% and +0.49%, respectively, signalling buyer activity at lower price levels.
- Global Demand Influence: Short-term momentum may reflect anticipation of stabilizing demand in key markets.
3. EU Market Impact
- Stable EU Prices: EU sugar prices remain unchanged at €0.52 to €0.54/kg FCA, despite the recent recovery in ICE Sugar futures.
- Potential Pressure: As Ukrainian import offers hover around €0.49/kg, EU producers may face increasing competition if global prices stabilize or decline further.
4. Recommendations
- For Traders: Recent gains provide opportunities for short-term profit-taking, especially in nearby contracts.
- For Producers: Long-term hedging strategies remain vital amid ongoing market uncertainty.
- For Investors: The slight recovery suggests cautious optimism, but further global supply and demand monitoring is recommended.
Conclusion
While ICE Sugar No. 5 futures recorded modest gains on January 10, 2025, the market environment remains fragile. Participants should stay attentive to global trends and leverage opportunities amid the current volatility.
🔹 For logged-out users (not logged in)
Please register for a FREE membership to read this report.
All reports on CMB News are free to read, but you need to create a free account first.
As a registered Free Member, you will get instant access to:
• Daily market reports and news updates
• Price trends for food and feed ingredients
• Regional insights from Europe, Asia, and the USA
For full access to charts, statistics, and detailed price analyses, you can upgrade anytime to a BASIC membership for only €4.99/month.
Register now for free to continue reading.
Please click here to login if you are already a registered member.Click here to reach our trading platfrom CMBroker