Domestic disk: Zhengzhou Commercial Exchange White Sugar 2109 contract closed at 5389, +0.17% from the previous trading day; volume 291994; position 534870, -86; basis +161, +17; SR September-January spread of 232, +9.
External disk trend: InterContinental Futures Exchange (ICE) raw sugar futures fell to the lowest in two months on Friday. The most actively traded ICE October raw sugar futures contract closed down 0.13 or 0.78%, with a settlement price of 16.66 cents per pound.
In terms of news: 1. According to data released by the General Administration of Customs, my country imported 180,000 tons of sugar in May, the same month-on-month and a year-on-year decrease of 40%. 2. According to data from the British trading company Czarnikow, the global sugar supply surplus in 2021/22 (October to September) is 1.5 million tons, while this year's surplus is 2.7 million tons, due to increased production in major production areas.
In terms of spot: the spot price of Liuzhou sugar was 5550, which remained unchanged from the previous trading day; the spot price of Nanning sugar was 5530, which was unchanged from the previous trading day, and the transaction was fair. (Unit: Yuan/Ton)
Warehouse Receipt Inventory: 36841 white sugar futures warehouse receipts of the Zhengzhou Commodity Exchange, -100, and 1171 valid forecasts.
Position analysis: On the day, the top 20 long positions of the Zheng sugar contract were 384,694 hands, +607; the short positions were 472,964 hands, -1689, and the net short positions were 88,270 hands.
Summary: The raw sugar futures of the Intercontinental Futures Exchange (ICE) fell to its lowest level in two months on Friday, as the US dollar rose and improved crop weather in the main producing countries suppressed. With the accelerated progress of sugarcane crushing in Brazil, the rapid increase in supply and export volume, and the expected reduction in production due to rainfall in the production areas, at the same time, the prospects for production in India and Thailand are optimistic, and international sugar prices are expected to fluctuate mainly. Domestic market: A series of demand for downstream beverages has increased, but it has offset the decline in the share of some finished sugars. In May, the sugar industry inventory was 4,767,900 tons, a year-on-year increase of 16.4%, maintaining a relatively high level. Moreover, most sugar processing plants continued to operate and supply pressure was staged. It is expected that sugar prices will continue to be adjusted in the future. Operationally, it is recommended that Zhengtang 2109 contract sell high and buy low in the range of 5300-5460 yuan/ton in the short term.
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