"There's been a lot of bearishness in softs (markets). Stocks and bonds have captured much of the speculator attention," said Jack Scoville, vice president with Price Futures Group in Chicago. London robusta coffee and white sugar had abbreviated trading sessions. ICE soft agricultural commodity markets will be closed on Monday, January 1, for the New Year holiday.
March raw sugar finished up 0.16 cent, or 1.07 percent, at 15.16 cents per lb and touched a four-week high of 15.18 cents. Benchmark prices soared 11 percent in the last 9 sessions from a December low, but that didn't keep the commodity from its largest annual loss in six years. Short-covering at year-end amid expectations that index funds will have to buy around 60,000 lots of the commodity when they rebalance their investments next month have bolstered prices, traders said. But expectations of swelling supplies lingered.
Russia's sugar production from its own beet is expected to rise to a new record. March white sugar settled $0.90, or 0.2 percent, higher at $394.70 a tonne, ending 2017 down 25 percent.
March London cocoa settled down 15 pounds, or 1.08 percent, at 1,378 pounds per tonne, weakened by a stronger pound and abundant global supplies. Prices finished the year down 20 percent. March New York cocoa settled down $19, or 0.99 percent, at $1,892 per tonne, ending 2017 with a second straight annual loss amid a supply surplus.
March arabica coffee settled up 1.4 cents, or 1.12 percent, at $1.262 per lb, but ended the year down 8 percent. March robusta coffee ended $3, or 0.2 percent, higher at $1,718 a tonne, supported by the softer dollar. Benchmark prices finished 2017 down 20 percent amid rising production in top grower Vietnam.
Copyright Reuters, 2017