Raw sugar prices have climbed to a three year high as bad weather threatens crop yields in Brazil and India, the world’s largest sugar producers.
In “Sugar prices head towards the sky,” the Financial Times reports that traders are betting that “the physical market will be at its tightest between November and April. They forecast that the price peaks will be seen in the ICE March 2010 raw sugar contract.”
What’s interesting is that the planetary picture correlates to traders’ bullish sentiment. Read the rest at WallStreetWeather.net