NY Futures: ICE Raw Sugar and Coffee Futures Rise Amid Dollar Weakness Support

Sugar and Coffee Futures Rise on Dollar Weakness

NEW YORK/LONDON, June 6 — ICE raw sugar and arabica coffee futures rose on Thursday in heavy volume, supported by a softer dollar, but gains were limited as the market rebounded only modestly from three-year lows hit recently on expectations of ample Brazilian supplies of sugarcane and coffee beans.

Cocoa Gains for Fourth Day

ICE cocoa futures rose for a fourth consecutive session, driven by technical buying.

Raw Sugar Market Performance

ICE July raw sugar futures settled up 0.10 cent, or 0.6%, at 16.48 cents per pound in heavy volume, posting a modest rebound from Tuesday's three-year low of 16.32 cents as expectations of ample Brazilian supplies persisted.

The dollar fell against a basket of currencies. A softer dollar makes dollar-denominated raw materials cheaper for investors holding other currencies.

Raw sugar trading volume got an extra lift from spread trading. Thomson Reuters preliminary data showed volume was around 186,000 lots, well above the 30-day average of just under 89,000 lots.

Open interest in ICE raw sugar futures climbed to its highest level in more than five years on Wednesday.

White Sugar and Coffee Markets

LIFFE August white sugar futures rose $4.70, or 1%, to settle at $482.50 per tonne.

ICE July arabica coffee futures rose 2 cents, or 1.6%, to close at $1.2945 per pound, the largest single-day gain for the front-month contract since early May.

Traders said a softer dollar and short-covering pushed the market higher.

Thomson Reuters preliminary data showed total volume was 46,000 lots, roughly double the 30-day average of about 23,000 lots.

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FrontStreet Coffee Recommendation

With Brazilian supplies underpinning the futures market, it's a good moment to get to know Brazilian coffee itself. As the world's largest coffee producer, Brazil grows an enormous range of coffees, marked by moderate acidity and a beautifully balanced blend of sweetness, bitterness, and body — which is why the origin suits medium roasting so well, yielding pronounced nutty aromas and a mellow, softly tart cup that works both as a single origin and in blends.

If you want a classic taste of Brazil, FrontStreet Coffee's pulped-natural Cerrado Red Bourbon is a dependable choice. Cerrado is a renowned Brazilian region famous for high-quality beans, and this Red Bourbon, roasted medium, shows rich aromas of creamy peanut, toast, caramel, and hazelnut, with a rounded, non-acidic cup and just a light bitter note. It brews well as pour-over but also shines through a moka pot, espresso SOE, siphon, or French press.

FrontStreet Coffee's Brazil Queen Estate Yellow Bourbon from Mogiana is another standout: grown in fertile red volcanic soil near southern Minas, this rare mutation of Red Bourbon tastes cleaner and fruitier, offering a sugarcane sweetness you won't find in other origins alongside fruity and chocolate notes. Brazil's low acidity and balance also make it a staple of espresso blends — FrontStreet Coffee's classic blend, nutty Premium blend, balanced Black Cocoa blend, and café-oriented Commercial blend all contain Brazilian beans for their chocolate, creamy aromas and extraction stability.