Fall of Sugar & Coffee; Gold Gained
Sugar falls for the third session in London on sales by investors after it rallied to a record last week. Sugar was spurred by expectations of drought in India (the second biggest producer and largest consumer) and heavy rainfalls in Brazil (the world’s biggest producer). Now Brazil and India are attempting to boost cane crop. October delivery for raw sugar declined to $0.2155 per pound (1.3 percent) on ICE Futures U.S. in New York.
Coffee prices experience the longest decline since December because of concerns for slow economic recovery. Worries rises as worldwide economic recovery are going slower than hoped for: house construction in the U.S. unexpectedly fell in July, Japan’s economy grew less than expected, foreign investment in China fell a 10th straight month. December futures for Arabica-coffee delivery fell $0.0095 (0.7 percent) to $1.28 per pound as of 10:49 on ICE Futures U.S. in New York.
Gold gained for the first time in three sessions as weaker dollar may spur demand for the metal as an alternative investment. Gold investors are hoping for inflation to boost demand for the metal. December futures for gold delivery rose $2.30 (0.2 percent) to $938.10 per ounce by 11 on the New York Mercantile Exchange’s Comex division.
If you have any questions and comments on the commodities today, use the form below to reply.