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USCR Agrimonetary Updates |
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| USCR Agrimonetary Update 13th May 2004 |
NO Sugar Price Change from Monday 17th May
Sterling has had a roller coaster week against the €uro moving from £0.6640 (USCR Sugar price CUT) to £0.6765 (close to USCR sugar price INCREASE).
The short term technical range seems to have narrowed to £0.6640 to £0.6796 but with the UK interest rate differential still likely to benefit sterling against the €uro we could still see opportunities emerge for some cheaper USCR hedging. In the very short term however, some analysts expect sterling to weaken before the interest rate advantage kicks in again.
The ECB today fixed the commercial market value of the €uro at £0.6703, creating a positive monetary gap against the current artificial "USCR" (£0.6708) of 0.075%.
Consequently there will be no change in the USCR and therefore no resulting change to our sugar prices for at least the next 2 weeks. |
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