Credit Suisse reduced its 3-month and 12-month raw sugar forecasts to 26 cents a pound in 3- and 12-months, down from 32 cents and 33 cents respectively, reports Isis Almeida for Reuters.
“While Brazilian sugar output is expected to disappoint this season, large crops in India, Thailand, Europe and Russia should keep the market sufficiently supplied,” Credit Suisse analysts led by Tobias Merath commented in a report. “The global sugar market is likely to end the 2011-2012 marketing year with a significant surplus, limiting price upside.”
iPath Dow Jones-UBS Sugar Subindex Total ReturnSM ETN
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Max Chen contributed to this article.