(Adds CFTC data, milestones, market background) Dec 1 (Reuters) - Speculators switched to a net long position in raw sugar contracts on ICE Futures U.S. in the week to Nov. 28, while they reduced their bearish stance in arabica coffee, U.S. Commodity Futures Trading Commission (CFTC) data showed on Friday. They sharply increased their net long position in cotton futures and options, while they slightly decreased it in cocoa, the data showed. In sugar, the speculators flipped to a small net long position of 76 contracts, adding 10,528 contracts, CFTC data showed. This was the first time they held a net long position since late-April.
The spot futures contract rallied to a six-month high
at 15.49 cents per lb as traders focused on increased demand for cane to be processed into ethanol, before prices turned lower later in the week. In coffee, they cut their net short position by 7,002 contracts to 41,862 contracts, a seven-week low but still within sight of their record bearish stance of 49,399 contracts reached in early November. The speculators raised their net long position in cotton by 15,551 lots to 66,511 lots, the highest in 11 weeks. They reduced their net long position in cocoa by a slight 119 lots to 5,446 lots, CFTC data showed.
(Reporting by Marcy Nicholson; Editing by Susan Thomas)