Giles Coghlan LLB, Lth, MA
HYCM
Commodity dealers have been reporting tightness in the sugar market recently and stocks have been down in some of the major countries. Sugar has been on a good run since April 2020 in line with commodities generally. However, is this the time to go long on Sugar in line with its strong seasonals?
Sugar has a strong seasonal pattern now with an annualised return of over 90% and an average return of over 3.5%. So, is this time to turn sweet on sugar?
Major trade risks: The major risk here surround supply levels of sugar which could contradict the seasonal outlook.
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