Thursday, 07 March 2019
The now prompt May19 contract began the week making its high of 13.36c/lb last Monday, before posting its low of 12.61c/lb on Friday, closing the week down 68 points at 12.62c/lb. Crude oil also slipped slightly, reducing the ethanol price impact on the market.
The Mar19 contract expired at 12.73c/lb with over 1 million tonnes of Brazilian and Central American origin sugars delivered to the tape. This delivery certainly dispelled earlier market assumptions around near-term physical tightness and has seen a bearish tone return.
The Aussie dollar traded downhill all week, making its lowest value on Friday, reaching 0.7085c. Headwinds included strong US Dollar data, as well as the stalling of trade talks between the US and China.