October 4, 2018 / 7:07 PM / 7 months ago

SOFTS-Raw sugar at fresh 3-1/2-month high, arabica advances

 (Recasts throughout with updated prices, comment; adds NEW YORK
dateline, ICE data)
    NEW YORK, Oct 4 (Reuters) - Raw sugar futures on ICE rose on
Thursday for the fourth straight session to a new 3-1/2-month
high while arabica coffee also rose ahead of presidential
elections in top grower Brazil.
    * March raw sugar        settled up 0.1 cent, or 0.8
percent, at 12.33 cents per lb.
    * "The (Brazilian) real        is a little down today but
has been pretty firm lately, and that has helped prices recover
for both sugar and coffee," said Jack Scoville, vice president
with Price Futures Group in Chicago.
    * The first round of the Brazilian presidential election is
Sunday, a contest which has added some volatility to the
currency of the top grower. Still, the real has firmed more than
5 percent against the U.S. dollar in the past 10 session, which
has reduced selling interest from producers.             
    * The short-term sugar outlook appeared constructive,
especially as the market closed above the key 12 cent
psychological support for the third straight day, dealers said. 
    * Weakness in the Indian rupee, however, which sunk to a
record low on Thursday, could however, increase the likelihood
of exports from the world's second-largest producer.
    * "India's Rupee declining to new all-time lows is worth
noting. When the market returns to weighing up India exports,
the export parity price will now be lower," Commonwealth Bank of
Australia analyst Tobin Gorey said.
    * December white sugar         settled up $2.90, or 0.9
percent, at $341.6 per tonne.

    * December arabica coffee        settled up 0.35 cent, or
0.3 percent, at $1.0695 per lb. 
    * "The shorts are lightening up their load," said Shawn
Hackett, president of Hackett Financial Advisors. 
    * Open interest in arabica fell for the fourth straight
session on Wednesday to 324,588 lots, a 3-week low, ICE data
    * "We may oscillate between $1.04 and $1.10 until we get the
final verdict on the (Brazilian) election," Hackett said. 
    * November robusta coffee         settled up $28, or 1.8
percent, at $1,616 per tonne.
    * Global coffee prices recovered but markets were subdued in
Vietnam and Indonesia due to low stocks in both the countries,
traders said on Thursday.             
    * December New York cocoa        settled down $9, or 0.5
percent, at $2,010 per tonne.
    * The cocoa harvest in the main growing region of West
Africa is now underway, pressuring prices, dealers said. 
    * The contract touched a 9-month low of $1,982 on Monday,
which was now acting as technical support, dealers said. 
    * December London cocoa         settled up 10 pounds, or 0.7
percent, at 1,508 pounds per tonne.

 (Reporting by Ayenat Mersie in New York and Nigel Hunt in
Editing by Alexandra Hudson and Alistair Bell)
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