Raw sugar futures surged to their highest price in almost 29 years on light investment fund buying spurred by tight supplies, analysts said.

The benchmark March raw sugar contract jumped to a new lifetime peak at 27.30 cents per pound, its loftiest level since February 1981, and was trading at 27.20 cents at 7:37 a.m. EST.

The market reopened for business at 7:30 a.m. following the Christmas break.