1, weather factor: white sugar is a product extracted from plants such as sugarcane and beet, and the change of sugar price and the production of raw materials such as sugarcane and beet are greatly affected by the weather. Major producing countries such as India and Thailand have recently suffered from unfavorable seasonal weather such as floods and droughts, which may lead to reduced production, thus pushing up the futures price of white sugar.
2. Trade policy: Sugar is one of the most traded agricultural products in the world, so changes in trade policy may have an impact on sugar prices. For example, the export policies and tax policies of sugar-producing countries such as India and Brazil may affect the relationship between supply and demand in the market, and then affect the sugar futures price.
3. Monetary policy: The sugar futures market is an internationally influential market, so changes in global monetary policy will have an impact on sugar prices. For example, the depreciation of the dollar may cause global investors to sell dollar assets and then switch to other commodities, including sugar, thus pushing up the price of sugar.
4. Speculation: Speculation in the futures market may lead to price fluctuations. If market speculators expect sugar prices to rise, they may buy futures contracts, thus pushing up sugar prices.
In short, the reasons for the rise in sugar futures prices are very complicated and may be affected by many factors. Investors should make a correct investment strategy according to the actual market situation and comprehensively consider various factors.