Commodity markets are fluctuating, with the MXV-Index trading sideways around 2,650 points.

The MXV-Index is trading sideways around 2,650 points. Source: MXV

After a series of sharp increases, oil prices unexpectedly stabilized, while sugar prices maintained a weakening trend due to persistent oversupply pressure. At the close of trading on March 5th, the MXV-Index edged up only slightly by 0.04% to 2,658 points, indicating a prevailing tug-of-war in the market.

In the energy market, Brent crude prices edged down slightly by less than 0.1% to $81.34 per barrel; WTI crude rose nearly 0.2% to $74.7 per barrel.

According to the Vietnam Commodity Exchange (MXV), although hotspots in the Middle East continue to escalate, investors have become more cautious in assessing the actual potential for supply disruptions.

Oil prices cooled despite escalating tensions. Source: MXV

Risks in the Strait of Hormuz – a transit route for about 20% of global oil production – remain a focal point. However, signals from Washington regarding maritime security, including the ability to escort oil tankers and provide political risk insurance, have somewhat reassured the markets.

In addition, a report from the US Energy Information Agency (EIA) showed that US commercial crude oil inventories increased by 3.475 million barrels in the week ending February 27, exceeding forecasts and creating technical pressure for a correction.

Despite cooling down, oil prices remain at their highest level in over eight months, up more than 14% since the end of February. This development continues to maintain high energy prices, thereby having a ripple effect on global transportation and production costs.

Over the last five trading sessions on the Singapore Exchange (SGX), the prices of refined petroleum products have seen a dramatic surge. Specifically, the prices of RON 92 and RON 95 gasoline jumped by 26.2% and 28.1% respectively; while the price of diesel fuel climbed by more than 53.3%.

World sugar prices remain near their lowest levels in the past five years.

Source: MXV

Conversely, the industrial raw materials market saw selling pressure on sugar. The price of March sugar futures fell by more than 1.4% to $302.69/ton; white sugar for the same period retreated to $409.3/ton – its lowest level in over 5 years.

According to MXV, abundant supply from Brazil and India is creating significant pressure. Meanwhile, import demand in Indonesia and the US has weakened noticeably, increasing concerns about a prolonged oversupply.

Domestically, sugar prices edged up in Ho Chi Minh City and the Southwestern provinces, increasing by approximately 100-150 VND/kg to 15,500-15,900 VND/kg. Meanwhile, sugar prices in Central Vietnam decreased slightly to 15,300-15,500 VND/kg.

Source: https://hanoimoi.vn/thi-truong-hang-hoa-giang-co-mxv-index-di-ngang-vung-2-650-diem-736252.html