Blog

Sugar

• Raw sugar futures have chopped over a 105-point range in the last month.
• Brazil has continued to reduce sugar output with little effect as oversupply remains an issue for the global market, thanks in large to excess Thai and centrals sugar.
• The Indian government announced that it will extend the buffer stock to 4mmt, from the previous 3mmt this year, and is expected to make a formal announcement on its 19/20 export policy this month.

Macro/currency commentary

• The AUD has been a runaway train over the past month, trading from a mid-July USD 0.7082 high to 10-year lows in the last week at USD 0.6677.
• Trade tensions between the US and China continuing to dominate market sentiment.
• A busy week on the economic data calendar as the market looks for further policy easing justification in the local employment numbers on Thursday.