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Category: FOREX

Sugar to 19.50 cents by Q1 2027: the deficit-flip case

ICE No.11 raw sugar settled at 17.52 cents on August 20, 2026. Six houses have flipped the 2026-27 balance into deficit: why the base case is 19.50 cents.

Wheat to $7.60 by year-end 2026: the hard-red-winter case

CBOT wheat at 679 USd/bu. Base case 760 by year-end 2026 as USDA cuts hard red winter output to a 1957/58 low and exporter stocks fall 16.7%.

USD/JPY capped near 160.30 into Jackson Hole: the carry-to-vol case

USD/JPY at 159.19 on August 19, 2026. The US-Japan two-year rate gap narrowed 19bp since August 3, yet the pair rose 1.93%. Base case 160.30 into Jackson Hole.

Tin to $62,000 by year-end 2026: the stock-drawdown case

Tin settled at $56,225/t on August 17, 2026 while LME stocks fell 41% in two months to 5,320 tonnes. Base case $62,000 by year-end 2026, bull $68,000, bear $48,000.

Zinc to $4,100 by Q4 2026: the West-versus-China split

LME zinc hit a four-year high as western warehouse stocks drained 21.2% in 30 days while China's export arbitrage stayed shut. Base case $4,100/t by Q4 2026.

Henry Hub to $2.40 by end-October 2026: the storage-record case

Henry Hub spot is $2.79/MMBtu with Lower 48 storage 198 Bcf above the five-year average. The base case is $2.40 by October 30, 2026 - the storage-record call.

MarketAxess to $167 by the ICE close: the merger-arb case

MKTX trades at $162.57 against ICE's contractual $167.00 cash offer - a 2.72% gross spread pricing a 10.7% deal-break risk. The antitrust case, both ways.

Capesize rates lead the Baltic Dry Index to 3,400 by October

The Baltic Dry Index closed at 2,844 on August 13, 2026, up 39.5% year on year. Capesize tonne-miles carry the case for 3,400 by October 31, 2026.

USD/JPY to 163.50 by September 30: intervention’s half-life

USD/JPY is 159.29 after the July 31 joint US-Japan intervention, retracing at 0.34 yen a session. Base case 163.50 by September 30, 2026; bear case 153.50.

Nickel to $15,000 by year-end 2026: the ore-versus-metal gap

LME nickel is $16,840/t despite Indonesia's one-third ore-quota cut. With 264,744 tonnes still in LME sheds, the base case is $15,000/t by year-end 2026.

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