SOFTS-Raw sugar rebounds after hitting nearly two-month low

LONDON, March 1 (Reuters)Raw sugar futures on ICE rose on Tuesday after hitting their lowest level in nearly two months earlier in the session as traders remained risk averse due to the ongoing Russian-Ukrainian dispute, but supporters of purchase of sugar due to rising energy prices.

MKTS/GLOB

Rising energy prices may prompt the cane mills of Brazil’s main producer to produce less sugar and more ethanol, a biofuel made from cane.

SUGAR

* Can raw sugar SBc1 rose 1.4% to 17.94 cents per pound at 11:35 GMT, after hitting its lowest level since early January at 17.70.

* Traders said sugar was likely to remain range-bound in the near term, supported by high energy prices but under pressure from nervous investors seeking safe-haven assets due to the Russia-Ukraine conflict.

* Russia’s assault on its neighbor, which Moscow calls a “special operation”, is the largest state-to-state invasion in Europe since World War II.

* Egypt aims to import 300,000 tons of sugar in 2022, with 100,000 tons already purchased, Supply Minister Ali Moselhy said.

* May white sugar LSUc1 rose 1.2% to $501.70 a ton.

COCOA

* May New York Cocoa CCc2 edged up 0.2% to $2,536 a tonne, after hitting a one-month low of $2,507 amid widespread investor risk aversion.

* The International Cocoa Organization predicted on Monday that there will be a global cocoa deficit of 181,000 tonnes in the 2021/22 season (October-September).

* May London Cocoa LCCc2 rose 0.3% to 1,695 pounds per tonne, after hitting its lowest level in nearly two months at 1,681.

COFFEE

* May arabica coffee KNc2 rose 1.5% to $2.3630 per pound, after dropping to a one-month low on Monday.

* Traders said they expect arabica prices to stabilize this week, as around 60-70% of the coffee consumed by the world’s fourth-largest coffee buyer, Russia, is robusta coffee.

* May robusta coffee LRCc2 rose 0.7% to $2,104 a tonafter closing down 4% on Monday.

(Reporting by Maytaal Angel edited by Chizu Nomiyama)

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Rachel J. Bradford