(Bloomberg) -- Raw sugar dropped to a two-week low amid signs of increased supply in top exporter Brazil.

Brazil produced more of the sweetener than expected in the second half of May, data from industry group Unica showed last week. While a drought in the country lowered the cane crop’s yields, it boosted sugar content, Commerzbank AG said in a note. While that may improve supply in the short term, the bank still expects Brazilian output to fall below last year.

Raw sugar fell as much as 2.3% in New York, and was down 2.2% at 17.29 cents a pound as of 12:55 p.m. in London.

In other soft commodities, cotton fell 2.7% to 85.43 cents a pound, headed for the biggest loss in a month. Arkansas, Mississippi, Alabama and Louisiana should get a needed break from rains this week, although risks of flooding return in the 6-10 day range, Commodity Weather Group said in a note. The U.S. government is set to issue weekly crop conditions data later on Monday.

Also in U.S. trading, cocoa rose and arabica coffee retreated.

©2021 Bloomberg L.P.