Stock exchange news. Rather poor data concerning sugar is reported: unfortunately, reports about this tool are issued only once per quarter, whereas the reports of US Department of Agriculture even once per six months. Nevertheless, no relevant data concerning possible reconsideration of sugar production and consumption is reported.
The attention of investors is compelled to Brazil: since August 20 cooling is expected in the southern regions of the country. This, in its turn, can influence sugar cane yield capacity, taking into consideration the fact that till mid-July the yield capacity declined by 3.2%,
By the way, it is only now that an interesting fact appeared. It says that the yield capacity lowered not only due to the rains at the beginning of harvesting campaign in Brazil, but also due to frosts at the beginning of June. Another reason of the rise of sugar price was recent queues in Brazilian ports during the loading of goods; however, it is reported that the situation is gradually being solved, and that the number of ships waiting in the queues has considerably decreased.
Taking into consideration non-favourable weather conditions, the damage of which is yet hard to estimate, the price rise can be expected, as explained by traders of Department of Derivatives Trading. At the same time, the decrease of the volume of world production has not been reported yet.
