Sugar stocks are rallying due to government ethanol production decisions. Investors are hopeful, but past rallies have not always yielded long-term gains. Good monsoons and ethanol-blended petrol are positive factors. Analysts have mixed opinions on the sector’s long-term sustainability. Ethanol prices and cane supply are key factors to watch. Some companies are better positioned to benefit.
Originally published by The Economic Times https://economictimes.indiatimes.com/markets