Softs: Arabica coffee rises more than 3%, raw sugar steadies
SOFTS-Arabica coffee rises more than 3%, raw sugar steadies Updates with comments and closing prices
NEW YORK, Sept 28 (Reuters) - Arabica coffee futures on ICE exchange gained more than 3% on Monday in a technical bounce boosted by weak farmer selling, while raw sugar futures steadied.
COFFEE
* Arabica coffee KCc1 settled up 10.15 cents, or 3.6%, at $2.8875 per lb, after falling 5.4% last week.
* Dealers said the market was ripe for a technical correction after a sharp decline following an end-August peak that set the highest price since January.
* "I think a recovery was overdue after the decline we saw in the last 30 days," said a broker at an European coffee company.
* He added that the daily price jump was boosted by low liquidity, with timid selling interest including traders and farmers.
* Arabica, however, remains under pressure from expectations that Brazil harvested a record 2026/27 crop, but dealers said increased quality concerns might mean actual coffee available for commercial use disappoints.
* Robusta coffee LRCc1 rose 1.3% to $3,412 a metric ton.
SUGAR
* Raw sugar SBc1 settled down 0.04 cent, or 0.2%, at 17.46 cents per lb, having traded higher earlier in the session.
* Oil prices rose on renewed US-Iran tensions, boosting sugar by tempting cane mills to ramp up output of cane-based biofuel ethanol at the expense of sugar.
* Top EU sugar producer Suedzucker SZUG.DE has raised core 2026/27 earnings expectations on higher demand for biofuels.
* Sugar has mostly headed higher in recent weeks as rain in Brazil disrupted harvesting.
* Crop monitoring service MARS cut its forecast on Monday for sugar beet yield in the European Union.
* White sugar LSUc1 rose 0.3% to $504.10 a ton.
COCOA
* London cocoa LCCc1 settled down 30 pounds, or 0.7%, to $4,175 pounds per ton, having posted a 7% gain last week.
* Ivory Coast has set its 2026/27 farmer price at about $2.12 per kg while Ghana's new price works out at around $3.57 per kg, raising smuggling concerns.
* Dealers noted rainfall in No. 3 grower Ecuador has been well above average of late while rains in Ivory Coast and Ghana have been spotty and more are needed.
* Cocoa arrivals at ports in top grower Ivory Coast stood at 16,000 tons in the week ending September 27, bringing the total since the start of the 2026/27 season to 36,500 tons.
* New York cocoa CCc1 fell 0.5% to $5,589 a ton.
(Reporting by May Angel and Marcelo Teixeira
Editing by Diti Pujara, David Goodman and Perla Velasco)((marcelo.teixeira@tr.com; +1 332 220 8062; https://x.com/tx_marcelo))