REPORTS

Sugar prices on Thursday moved lower for a third day, with NY sugar falling to a 2-week low and London sugar dropping to a 1-week low.  Sugar prices are under pressure from signs of stronger sugar output in Brazil. Data from Unica on Wednesday showed Brazil Center-South sugar production in the second half of September at 2.32 MMT, higher than the consensus of 2.22 MMT, as millers crushed 35.8 MMT of sugar-cane, above expectations of 34.0 MMT.

Another negative factor for sugar prices is weakness in the Brazilian real against the dollar. The real (^USDBRL) on Wednesday dropped to a 5-1/2 month low against the dollar, which encourages export selling from Brazil's sugar producers and is bearish for sugar prices.