Sugar Prices Pressured by Weakness in Crude Oil and the Brazilian Real

Group 1 - Sugar prices settled lower, with NY sugar reaching a 2.5-week low and London sugar hitting a four-year nearest-futures low [2][3] - Weakness in crude oil prices and the Brazilian Real are contributing factors to the decline in sugar prices, with WTI crude dropping over 4% to a 5-month low [2] - Brazil's sugar output is projected to increase, with a reported 15.7% year-on-year rise in sugar production in the first half of September [4] Group 2 - A global sugar surplus of 4.1 million metric tons is anticipated for the 2025/26 season, negatively impacting sugar prices [3] - India's monsoon rains are expected to lead to a bumper sugar crop, with a projected 19% year-on-year increase in sugar production for 2025/26 [5] - The cumulative monsoon rain in India as of September 30 was reported at 937.2 mm, 8% above normal, marking the strongest monsoon in five years [5]