Sugar Market Falls Again – Rebound Fizzles as Selling Pressure Returns
On 4 June 2025, ICE Sugar No.5 futures
reversed Tuesday’s gains, with the
August 2025 contract falling by 1.20% to USD 468.10/t (EUR 435.33/t). After a brief recovery, selling pressure has returned amid bearish global fundamentals, low EU demand, and aggressive forward offers from Brazil and India.
📊 ICE Sugar No.5 – Closing Summary (04.06.2025)
(Umrechnungskurs: 1 USD = 0,93 EUR)
🇪🇺 EU Market Snapshot – Structural Pressure Continues
📉 EU FCA spot prices remain under pressure at
EUR 0.52–0.54/kg, with
some factories offering spot below EUR 0.52 to generate forward contracts.📦 EU buyers remain passive. Inventories are reportedly high, especially in Central Europe.🌍 Traders report
increased freight offers for Q3 shipments from Brazil, further weakening the EU’s pricing position.
🛍️ Retail Sugar Prices (1 kg, verified 04.06.2025)
📊 Price Comparison Table
🌍 Fundamentals & Outlook
- 🌾 Brazil continues shipping large volumes; harvest progressing smoothly
- 🇮🇳 India’s export pipeline remains active for Q3 forward deliveries
- 📦 EU producers struggling to fill contracts – price reductions spreading westward
- 📉 No structural support in sight – price floor may shift further down
🔮 3-Day Forecast (5–7 June 2025)
📌
Outlook:Market sentiment remains bearish. Any bounce is likely to be short-lived unless supported by weather or macro news.
🧭 Conclusion & Strategy
📉 The rebound has failed – futures are once again under pressure📦 EU spot is softening further – some factories now quote near EUR 0.51/kg FCA🛍️ Retail markets remain insulated, but producer margins are tightening
📌 Recommendations:
- 🛒 Buyers: Take advantage of spot pricing under EUR 0.53/kg for Q3-Q4
- 📦 Sellers: Hedge selectively – downward momentum may not be over
- 📊 Traders: Watch USD 465/t – critical support area for technical buyers
📍
Summary:Bearish fundamentals have reasserted control. Without demand or weather disruption, further downside remains likely.
