Friday, May 18, 2007

Sugar Heads for Longest Winning Streak in Seven Months in London Trading

(Bloomberg) -- White sugar headed for a third weekly
gain, the longest winning streak in seven months, underpinned by
a shortage of refining capacity and a surge in freight rates.

The European Union, the world's second-biggest exporter of
processed sugar behind Brazil, is cutting exports to comply with
a World Trade Organization ruling. That may leave a shortfall
until new refining capacity can be added elsewhere. Benchmark
freight rates have advanced 49 percent this year, further
limiting supplies.


Read more at Bloomberg Commodities News

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