Sugar Prices Retreat โ Market Pulls Back from Weekly Highs
On 20 June 2025, ICE Sugar No.5 futures
fell sharply, wiping out much of the gains seen earlier in the week. The
August 2025 contract dropped 1.54% to USD 475.10/t (EUR 441.84/t) as technical resistance near USD 485/t held. Despite strong volume, market sentiment remains fragile, and
EU spot prices show no follow-through.
๐ ICE Sugar No.5 โ Closing Summary (20.06.2025)
(Exchange rate: 1 USD = 0.93 EUR)
๐ช๐บ EU Market Snapshot โ Spot Prices Hold Steady Despite ICE Drop
๐ฆ FCA spot prices in the EU remain at
EUR 0.50โ0.52/kg, with no new forward activity reported.๐ Buyers remain cautious and mostly covered through August.๐ง Sellers are reluctant to reduce prices further despite falling futures, noting still-weak margins.
๐๏ธ Retail Sugar Prices (1 kg, verified 20.06.2025)
๐ Price Comparison Table
๐ Market Drivers
- ๐ Technical pullback after rejection at USD 485/t
- ๐พ Brazil continues to ship strongly โ no crop stress
- ๐ฑ Strong USD keeps physical import demand weak in many regions
- ๐ End-of-week positioning and macro softness in AGS add pressure
๐ฎ 3-Day Forecast (21โ23 June 2025)
๐
Outlook:Sugar remains range-bound. The market lacks a bullish trigger and will likely consolidate unless weather or policy news emerges.
๐งญ Conclusion & Strategy
๐ Sharp pullback after a brief rally โ market struggles to build momentum๐ฆ Physical prices remain unaffected, confirming a weak structural backdrop๐ง No buying panic despite futures fluctuation โ spot remains in the buyer's favour
๐ Recommendations:
- ๐ Buyers: Wait for spot offers < EUR 0.51/kg โ market remains favourable
- ๐ฆ Sellers: Use bounce days to lock Q3 contracts โ volatility is rising
- ๐ Traders: Resistance confirmed near USD 485/t โ bias neutral to bearish
๐
Summary:ICE Sugar No.5 retreats again โ the market remains technically reactive but fundamentally stuck in a surplus scenario.
