REPORTS

Fundamentally we haven’t more news than the previous days, as we are still waiting on news out of Brazil. As, the market is waiting on a decision from the Brazilian government to be released later today, or at latest within the next days, on whether or not they will raise the PIS/Cofins tax. A tax increase would narrow the ethanol/sugar parity and might favour ethanol production over sugar. This will be interesting to follow and see the market’s reaction. As an increase on the gasoline taxes in addition to the potential news out of India on import duties, that we are also still waiting for, might be the news the Bulls would be waiting on to build up momentum again. Hopefully we will finally have an update out of Brazil in tomorrow’s report.