Nitrogen is really giving some folks headaches this spring, and uncertainty about how much nitrogen is left in the soil after soaking rains suggests demand for nitrogen is set to increase as field conditions improve. We expect UAN and urea prices to fall July 1 on Chinese supply, but demand in June will be high and we expect prices to respond in the meantime.
Anhydrous, UAN28 & UAN32 all fell in this week's Monitor Index and now is a good time to book additional nitrogen for immediate application. Anhydrous is at $869.07, down just $1.63 week-over; UAN28% fell 98 cents to $400.86; UAN32% down $2.65 this week to $438.54 and urea ticked upward $1.06 to a regional average of $563.51. These downside moves are small and suggestive of upward movement in the near future.
We expect heavy demand in the near-term for nitrogen products, particularly solutions so look to book that N now.