Sugar Futures Set to Fall
The Sugar market is one of the most volatile commodity markets. Sugar has made four moves of plus or minus more than 50% since the beginning of 2010. Sugar touched .36 cents per pound this February. This was the highest sugar futures have been since 1980 when they reached nearly .45 cents per pound. Currently, October sugar futures are around .28 cents. I believe the fundamental supply factors in this market are set to drive sugar down to a more normal valuation around .16 cents.