Sugar prices are energy-driven; there's nothing else moving the market at the moment. It's all about the ethanol story.
Christoph Eibl
Fundamentally, the market looks strong and there are no signs of a sharp sell-off in the offing. We can't see a top to the market.
strong market signs
There is some classic, typical profit-taking going on.
classic
The hedge funds have pushed this market up, and now they are bringing it down again. Then we may see a small rebound as physical buyers come back into the market.
market small physical
We're entering bubble territory. Prices have moved away from reality, and are no longer linked to fundamentals.
reality territory
Industrial demand for silver has been lagging significantly since it went over 1.
demand
moment story moving market sugar
Sugar prices in the past few months have pulled back because of the weaker oil price. Now that oil is at around 0 a barrel, sugar has to follow.
past price oil sugar
Prices at these levels can't be justified based on fundamentals only. While we haven't seen the top of the market yet, the risk of prices collapsing is very high.
risk market
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