Sugar Jumps Most Since November on Brazil Ship CongestionOliver Renick
Sugar futures surged the most since November on concern that shipments will be delayed from Brazil, the world’s top exporter. Coffee, cocoa and orange juice rose, while cotton fell.
As many as 199 vessels were waiting at Brazil’s main ports today to load corn, soybeans and products made from the oilseed, up from 190 a week earlier, data from SA Commodities and Unimar Agenciamentos Maritimos show. The backlog may delay exports of sugar. There were 37 ships waiting to load 1.33 million metric tons of the sweetener, up from 36 vessels a week earlier.
“Logistic issues for the sugar market look to be a big potential complication this year,” Michael McDougall, the head of the Brazil desk at Newedge Group in New York, said in a report.
Raw sugar for May delivery gained 3.1 percent to settle at 18.77 cents a pound at 2 p.m. on ICE Futures U.S. in New York, the biggest increase for a most-active contract since Nov. 19. The price rose for the fourth straight session, the longest rally in five months.
Arabica-coffee futures for May delivery rose 1.3 percent to $1.431 a pound in New York. The commodity has tumbled 24 percent in the past 12 months.
Cocoa futures for May delivery climbed 1 percent to $2,062 a ton. The price has dropped 7.8 percent this year.
Orange-juice futures for May delivery gained 1.5 percent to $1.2455 a pound. The price has climbed 6.1 percent this year.
Cotton futures for May delivery fell 0.8 percent to 86.50 cents a pound. The fiber climbed in the previous seven sessions, the longest rally in six weeks.