February 13, 2018 / 6:44 PM / 3 months ago

CORRECTED (OFFICIAL) -SOFTS-Sugar prices slip, weak dollar boosts NY cocoa

(Corrects March white sugar settlement price, and resulting spread price, after ICE spokesman said it was amended)

NEW YORK/LONDON, Feb 13 (Reuters) - Raw sugar futures fell on Tuesday, with the focus returning to expectations for plentiful global supplies after a short-covering rally, while a softer dollar boosted New York cocoa prices.

SUGAR

* May raw sugar settled down 0.17 cent, or 1.3 percent, at 13.44 cents per lb.

* Last week’s run-up that lifted the front month above 14 cents ran out of steam after data showed speculators reduced their net short position from a record, traders said, though prices remained within a four-week trading range.

* “The market is still oversupplied. The factors that led to the most recent rally have reversed,” one sugar trader said.

* March white sugar settled up 1 percent at $359.60 per tonne before expiring, while May whites settled down 80 cents, or 0.2 percent, at $360.20.

* The March discount to May LSUH8-K8 moved wildly during the session from 20 cents to $7.90 before settling at 60 cents.

* “It looks like the delivery is going to be a lot smaller than everyone thought,” one dealer said, adding about 100,000 tonnes of mostly Central American sugar could be tendered.

* There was unlikely to be any EU sugar tendered despite a sharp rise in production amid some concern about logistical challenges, dealers said.

* France’s farm ministry increased its 2017 sugar beet production estimate to a record 45.8 million tonnes.

COCOA

* May New York cocoa settled up $29, or 1.4 percent, at $2,036 per tonne, trading within the range from the prior session, when prices fell sharply to a two-week low.

* A softer dollar helped support prices, traders said.

* Despite the session’s correction higher, dealers said fundamentals remained bearish, with a second consecutive global surplus generally forecast for the current 2017/18 season.

* May London cocoa settled up 11 pounds, or 0.8 percent, at 1,470 pounds per tonne.

COFFEE

* May arabica coffee settled up 1.55 cent, or 1.3 percent, at $1.2505 per lb.

* Arabica prices are on track for a “major upside break” with charts showing monthly lows on track to merge with long-term highs, said Shawn Hackett, president of Hackett Financial Advisors, in a report.

* “The current crop in Brazil has an array of expectations ranging from 55 million bags to 60 million bags. That will not be enough to rebuild in any major current historically low ending stocks relative to global demand,” Hackett said.

* May robusta coffee settled up $9, or 0.5 percent, at $1,778 per tonne. (Reporting by Marcy Nicholson in New York and Nigel Hunt in London; Editing by Mark Heinrich and Meredith Mazzilli)

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