The sugar market is different since 2005 with the arrival of hybrid cars. The information is from Arnaldo Correa, risk manager and director of the Archer Consulting. “Paradoxical as it may seem, despite the volatility we’ve seen high in sugar, ethanol and sugar are much more compliant (correlated in terms of price) than they were before 2005, ” he says.
A study of Archer Consulting proves it. Correlations between 0.85 and 0.89 open doors for hedging of fuel from the New York Stock Exchange, if the volume greater than the BM & F Bovespa can provide.