Composite Index Recaptures Discount

Posted on 06/03/2020 12:25 PM

 

Fertilizer prices were mixed and price action was generally mild. But overall, our Nutrient Composite Index flipped back to a discount to new-crop corn revenue on a mild rise in December 2020 corn futures.

  • Our Nutrient Composite Index (NCI) softened 1.83 points to 539.74.
Fertilizer
5/18/20
5/25/20
Change
Current Week
Fertilizer
Anhydrous
$507.09
$505.26
-$4.41
$500.85
Anhydrous
DAP
$424.26
$424.48
-36 cents
$424.12
DAP
MAP
$419.69
$420.76
-30 cents
$420.46
MAP
Potash
$357.44
$356.85
+64 cents
$357.48
Potash
UAN28
$243.78
$244.83
-40 cents
$244.43
UAN28
UAN32
$274.31
$276.14
-$2.24
$273.90
UAN32
Urea
$388.23
$387.39
-$1.90
$385.49
Urea
Composite
541.04
541.57
-1.83
539.74
Composite

Corn Futures

  • December 2020 corn futures closed Friday May 28 at $3.38 putting expected new-crop revenue (eNCR) at $550.88 per acre, up $10.56 on the week.
  • With our Nutrient Composite Index (NCI) at 539.74 this week, the eNCR/NCI spread widened 12.39 points and stands at -11.14.

Nitrogennitrogen indices chart

  • Nitrogen prices were lower across the board led by a decline in anhydrous ammonia.
  • Our regional average NH3 price fell $4.41 with Minnesota declining $35.40 as Wisconsin softened $10.40 per short ton. Two states posted higher weekly prices. North
    Dakota gained $4.02 and South Dakota firmed $2.86.
  • UAN32% softened with Minnesota down $12.70 and Michigan off $7.85. Most states were unchanged and Illinois posted the only price hike, up $1.63 on the week.
  • Urea was led mildly lower by Wisconsin, which fell $11.60 as Nebraska softened $10.80. Most states were lower, but Ohio urea firmed $17.70. According to MosaicCo., wholesale urea values softened moderately in the week ended May 29 and are well below year-ago levels.
  • UAN28% fell 40 cents per short ton regionally with Wisconsin off $3.37 and North Dakota down $2.69. Most states were unchanged but Michigan firmed $1.35 on the week.

Phosphatep and k indices chart

  • Phosphates were lower on the week.
  • DAP softened 36 cents per short ton regionally with Nebraska off an even $10.00 and Wisconsin softened $8.18. Ohio led gains firming $17.03.
  • MAP was slightly lower on the week with Wisconsin falling $7.73 as Missouri softened $4.63. Ohio MAP firmed $8.15 and Illinois gained $4.12.
  • According to MosaicCo., wholesale DAP and MAP values moved sideways to higher at U.S. terminals during the report week.

Potash

  • Potash was the only fertilizer in our survey to post a higher weekly per ton price.
  • Missouri led gains firming $7.33. Other states gained less than a dollar per short ton. Illinois softened $1.17 and North Dakota fell 13 cents by the short ton.
  • According to MosaicCo., wholesale potash values firmed slightly at NOLA and in the Corn Belt.
  • Our indexed potash figure remains at a premium to NH3 but is softer than our Nutrient Composite Index.

 


nci spread chart

 

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