While the rest of the market was experiencing a volatile swing, sugar prices rallied from decade-long lows and commodity-related exchange traded products have broken above their long-term trend line.

On Wednesday, the iPath Series B Bloomberg Sugar Subindex Total Return ETN (NYSEArca: SGGB) jumped 3.0% while Teucrium Sugar Fund (NYSEArca: CANE) advanced 2.8%, breaking above its long-term resistance at the 200-day simple moving average. Over the past month, CANE gained 10.7% and SGGB increased 12.0%.

ICE sugar #11 futures gained 3.6% to $0.1373 per pound on Wednesday, surging 36% since its August lows.

Despite the rally in sugar prices, some traders remain cautious on the soft commodity’s outlook. After a bumper crop year, India, the second largest producer of sugar, is expected to bolster exports or more than offset cutbacks in output elsewhere, adding on to another year of global surpluses, Bloomberg reported.

Meanwhile, rising health awareness in western markets have contributed to diminished appetites for sugar.

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