Sugar futures finished “down” for a fifth day in a row as US Secretary of State Kerry is in Mexico to solidify details for a trading pact throughout the Pacific-Rim. There continues to be an underlying rift between Mexico & the US over sugar (and “steel” amongst other things) which is straining ties between our two countries.
If Secretary of State Kerry is successful in finding common ground in bolstering trade and security, not only with Mexico, but with 10 other Pacific-Rim nations, this will be an economic alliance that is the largest in history. Sugar futures have been in an overall down-trend since late last year in part because Mexico sugar producers are being accused of flooding the sugar market with their product at the US’s expense.
The technical trend for sugar futures is down with a possible bottom in sight. If sugar futures can retain the $0.17 cent support level, and trade higher from here, then this market will be at a crossroad.\
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