CFTC Softs & Metals 9-20
Fri, Sep 20, 2024 at 08:35 PM UTC
Soft commodities risk management: navigate sugar markets with StoneX
Our softs division offers price-risk management solutions in sugar through consultants who speak a wide range of languages, including English, Spanish and Portuguese.
Explore our services for sugar clients
Clearing and execution
As a leading global non-bank FCM, our comprehensive suite of futures clearing and execution services deliver broad exchange access and transparency to our clients.
OTC Trading
We offer customized sugar OTC products to match your specific business risk profile, with various benefits over exchange-traded products.
Sugar market insights
Access technical and fundamental analysis for the global sugar markets, price data, breaking news, incisive commentary and more.
Sugar risk management
We assist producers, cooperatives, importers, processors, and wholesale users of dugar in mitigating risk and safeguarding their financial wellbeing from volatility.
Why choose StoneX?
StoneX is more than a service provider or sugar broker – we are your partner. Our goal is to help offer the right solutions that propel your business forward and outperform the competition.
Global reach
As a Fortune 100 company, we have over 80 offices around the world across six continents, including locations in Miami, Brazil, Colombia, London & Singapore.
Price-risk management expertise
Experience a full set of tools to manage your price-risk, from exchange-traded sugar futures and options to currency price-risk management and trade financing.
High-touch service
We go out in the field to talk directly with sugar producers and co-ops, importers, and end users about their businesses.
The StoneX difference
Deep fundamental knowledge
Our risk management consultants are out in the field, talking to growers, co-ops, importers, processors, and wholesalers about the issues their businesses are facing. This gives us a deep understanding of the fundamental issues impacting industry participants and helps us to deliver risk management solutions customized to their unique needs.
Commodity price-risk management expertise
Our consultants are experts in commodity price-risk management. They work with customers to identify and quantify their price-risk. The consultants then help customers select and employ the best tools to manage that risk. This includes exchange-traded futures and options, cash and forward-market contracts, and customized over-the-counter products.**
**StoneX is the trade name used by StoneX Group Inc. and its subsidiary companies. Futures/options execution and consulting services are provided by the FCM Division of StoneX Financial Inc. Sale and repurchase programs offered by StoneX Commodity Solution LLC. Over-the-counter (OTC) and structured products are provided by StoneX Markets LLC and are available only to individuals or firms who qualify under CFTC rules as an ‘Eligible Contract Participant’ (“ECP”).
Additional resources
As a global leader in commodity and financial services, StoneX can offer customers a broad array of solutions to meet their diverse needs, including currency price-risk management and trade finance.
Our clients
Sugar prices can be impacted by a wide range of factors, but StoneX helps mills, refineries, exporters/importers, and food and beverage companies to manage their risk and navigate the sugar market.
Sugar mills & refineries
We work with companies worldwide that produce, refine and process sugar, providing risk management, hedging, and complete marketing services to traders, processors, manufacturers' elevators, and end-users.
Exporters/Importers
Exporters need to carefully assess and hedge against price risks to safeguard profit margins, while importers need to anticipate and manage potential cost fluctuations. We work with both to utilize tools like futures contracts, options, and forward contracts to help mitigate sugar price volatility and secure stable trading conditions for our clients.
Food & beverage companies
All food and beverage companies face commodity price risk, but each requires unique solutions. We leverage extensive market access and deep sugar market expertise to help food processors, manufacturers, and consumer packaged goods companies overcome those risks.
From the Field to Fuel: Sugar & Ethanol Group
In this episode of Boots on the Ground, our Sugar & Ethanol Group visits Fini, one of the biggest sugar producers and exporters in the world. By visiting the facilities of our clients in person, our team gains key insights across the entire sugar supply chain that inform our strategy.
We explore one of the biggest sugar exporters in the world, gaining key insights across production, consumption, purchasing, selling and much more to deliver to our customers.
Sugar Market Intelligence
CFTC Softs & Metals 9-13
Fri, Sep 13, 2024 at 08:35 PM UTC
CFTC Softs & Metals 9-6
Fri, Sep 6, 2024 at 08:32 PM UTC
CFTC Softs & Metals 8-30
Fri, Aug 30, 2024 at 08:31 PM UTC
FAQ
How to trade sugar futures?
ICE offers two sugar contracts: one that trades into 112,000 pounds of world sugar #11 (the benchmark for raw sugar worldwide) and the white sugar #5 futures contract that trades into 50 tones (the global benchmark for the pricing of physical white sugar). Both are traded globally on the ICE electronic trading platform. The world sugar #11 contract has four expiration months: March, May, July, and October; while the white sugar #5 futures contract has five expiration months: March, May, August, October, and December. Futures are derivative instruments that can be added to a comprehensive risk management strategy, while also allowing speculators to make leveraged bets on commodity prices. To trade in futures, traders need a high level of sophistication, given the impact of factors such as storage costs and interest rates on pricing.
What are sugar futures?
Sugar futures are standardized, exchange-traded contracts in which the contract buyer agrees to take delivery, from the seller, a specific quantity of sugar at a predetermined price on a future delivery date. Sugar futures are a popular way to trade sugar, as they enable market participants to manage price risk, and consumers and producers trade sugar futures to secure selling or purchase prices. Futures are the most popular way of trading sugar if you want to invest in the physical commodity, offering high liquidity and volatility.
StoneX: We open markets
Our market expertise, advanced platforms, global reach, culture of full transparency and commitment to our clients’ success all set us apart in the financial marketplace.
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GlobalityWith access to 40+ derivatives exchanges, 180+ foreign exchange markets, nearly every global securities marketplace and numerous bi-lateral liquidity venues, StoneX’s digital network and deep relationships can take clients anywhere they want to go.
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TransparencyAs a publicly traded company meeting the highest standards of regulatory compliance in the markets we serve; our financials and record of accomplishment are matters of public record. StoneX’s commitment to “doing the right thing over the easy thing” sets us apart in the industry and helps us build respect, client trust and new partnerships.
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ExpertiseFrom our proprietary Market Intelligence platform, to “boots on the ground” expertise from award-winning traders and professionals, we connect our clients directly to actionable insights they can use to make more informed decisions and achieve their goals in the global markets.
© 2024 StoneX Group Inc. all rights reserved.
The subsidiaries of StoneX Group Inc. provide financial products and services, including, but not limited to, physical commodities, securities, clearing, global payments, risk management, asset management, foreign exchange, and exchange-traded and over-the-counter derivatives. These financial products and services are offered in accordance with the applicable laws in the jurisdictions in which they are provided and are subject to specific terms, conditions, and restrictions contained in the terms of business applicable to each such offering. Not all products and services are available in all countries. The products and services offered by the StoneX Group of companies involve risk of loss and may not be suitable for all investors. Full Disclaimer.
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The trading of commodities and derivatives such as futures, options, and swaps involves substantial risk of loss and may not be suitable for all investors. Advisory services as well as the trading of futures and options is available through various subsidiaries of StoneX Group Inc. including but not limited to the FCM Division of StoneX Financial Inc. Public Disclosures for the FCM Division of StoneX Financial Inc. The trading of over-the-counter products or swaps is available through subsidiary StoneX Markets LLC to individuals or firms who qualify under CFTC rules as an eligible contract participant. Please click here for the full disclaimer.
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