Sugar declined as weather in Brazil and India improved

Note: This section contains information in English only.
Source: Dukascopy Bank SA

Farm commodities plunged on Monday as beneficial weather in India and Brazil is likely to result in improved crop yields. Moreover, recent USDA report continued to create heavy pressure on grain commodities.

Wheat was the worst-performer after Canada announced that it expects wheat crops to increase by 5.7% from the initial estimate in a year starting Aug. 1.

Corn dropped the most in the five weeks on speculation that demand will soften after US drought pushed corn prices to record level this month.

Sugar slid as drought concerns in India eased after recent rainfalls. Additionally, better weather in Brazil is expected to boost sweetener's crops.

Coffee retreated, approaching the lowest level in three months after coffee crops in Colombia rose by annualized 26% in July.

 

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