Raw sugar futures in the US have continued to rise to over ten-year highs accelerating after breaking through the high from late February spurred on by a number of factors. Futures extending their rally to over $24.5 per pound in April, reaching the highest since March 2012. Disappointing harvests in some of the world’s largest producers India, China and Thailand from bad weather has hit sugar production in all three countries. At the same time China’s economy has begun to … Continue reading “Ethanol Demand Pushes US Raw Sugar Futures to 10-Year High as Weather Hits Harvests”
Raw sugar futures in the US broke through the high from late February spurred on by a number factors. With sugars use in biofuel, in particular in Brazil for ethanol the surprise moves by OPEC+ to cut production triggered prices across the energy fuel structure. WTI oil futures rose 6.3% on the move, Brent futures rose 6.4% and gasoline futures rose 2.98%. Raw sugar prices surged over $22.4 per pound Monday, hitting six year highs. Sugar was already higher, up … Continue reading “US Raw Sugar Futures Hit 6-Year High on Biofuel Demand Expectations”
Ethanol losses continued below $2.2 per gallon for the first time since February 2022 Thursday, pressured by an overall negative tone in energy markets pressured by higher rates and inflation forcing recession. Price pressure came from news that Corn-for-Ethanol use was stronger than expected. Corn-for-ethanol use totaled 443.6 million bu. in January, according to USDA, topping traders’ expectations of 436.8 million bushels. The USDA expects 5.25 billion bushels of corn to go to corn ethanol production in 2022-’23, below the … Continue reading “Ethanol Slide Continues to Over 1 Year Low.”
US net corn export sales continue to rise. Mexico and Japan are the two largest destination for American corn. The Department of Agriculture reported current crop and next crop corn were up 35% from the previous week.