Raw sugar futures closed lower Wednesday on speculative liquidation due to switch business, but trade buying believed linked to consumer interest trimmed the market's losses, brokers said. The New York Board of Trade's March raw sugar contract fell 0.22 cent, or 2.42 percent, to settle at 8.88 cents a lb, moving from 8.83 to 9.08 cents. It was the lowest close for sugar on a spot basis since ending at 8.81 cents on February 2. May sugar lost the same to 9.24 cents. The rest retreated from 0.09 to 0.19 cent.

"The funds hammered it on spreads, but the trade paid up a little bit at the bottom and you'd think some of that was probably cash business being done by those (trading) houses," a long-time floor broker said.

Copyright Reuters, 2005