Investing.com - U.S. soft futures were mixed on Thursday, with coffee prices moving lower as investors cashed out of the market to lock in gains from the previous session’s 5% rally which took prices to a nine-month high.
On the ICE Futures U.S. Exchange, Arabica coffee for March delivery traded at USD1.4108 a pound during U.S. morning hours, down 1.4%.
The March contract hit USD1.4370 a pound on Wednesday, the strongest since May 15, before paring gains to end at USD1.4310 a pound, up 5.03%.
Coffee prices have been well-supported in recent sessions as weather forecasting models pointed to hot and dry conditions in key coffee-growing regions in Brazil.
The South American nation had the hottest January ever and the least rain for the period in 20 years, according to agricultural meteorologists.
Brazil is the world''s largest producer and exporter of Arabica coffee.
Meanwhile, sugar futures for March delivery traded at USD0.1613 a pound, up 0.45%.
The March sugar contract ended Wednesday’s session up 0.25% to settle at USD0.1610 a pound.
Sugar prices are on track to rise for the sixth consecutive session amid speculation adverse weather conditions in top grower Brazil will damage the quality of the crop.
Brazil is the world''s largest sugar producer and exporter, with the U.S. Department of Agriculture estimating the nation accounts for nearly 20% of global production and 39% of global sugar exports.
Elsewhere, cotton futures for March delivery traded at USD0.8611 a pound, up 0.7%. The March contract settled 0.14% higher on Wednesday to end at USD0.8552 a pound.
Jerusalem Post Annual Conference. Buy it now, Special offer. Come meet Israel's top leaders