The global sugar market is on a tightrope. What are the risks?

Both crude and white are in a delicate balance, with total global trade flows and supply and demand predicted to be in a small surplus. Any disturbance to its balance can affect prices and speculative positions. Currently, the market is leaning towards bearish trends, considering factors such as Brazil's positive results and the potential for another strong harvest in 24/25. Weather patterns, geopolitical conflicts and the macroeconomy are crucial factors to monitor in 2024. Check out the full analysis from hEDGEpoint Global Markets: The market showed signs of being well balanced, rather than the extreme tightening predicted earlier. As a direct result of the more comfortable situation, prices melted, while speculative positions were almost completely liquidated. A new comfortable range has been established between 20.5 and 22c/lb, and raw sugar hovers in the middle. White sugar, however, has a slightly different story. “With a small deficit to be resolved after gross processing, ...