Views: 7 Author: Site Editor Publish Time: 2022-11-03 Origin: Site
Due to the relative slowdown of domestic demand, most European buyers did not make new purchases, while Egyptian and Algerian producers facing inventory pressure cut their FOB prices. Adequate supply and sluggish demand remain the main themes, and the American market remains weak.
Even the demand of 800000 tons of urea in Ethiopia and Pakistan is not enough to support the market this week, but this is mainly because the market is not satisfied with the possibility of successful bidding.
However, the producers in the Middle East and Southeast Asia put most of their production in November into India, and they faced less pressure. The price drop in the east of Suez was also lower than that in the western hemisphere.
market factors
EU natural gas prices fell
Despite the risk premium of natural gas prices in winter, the weakness at the front of the curve has enabled some producers to increase production and reduce prices, which has led some fertilizer buyers to reduce their activities because they expect supply to increase and prices to continue to decline.
Rising food prices
The agricultural economy of most nitrogen intensive food crops continues to leave room for rising nitrogen fertilizer prices.
30-60 day outlook
The market is still vulnerable to fluctuations in natural gas prices and potential nitrogen fertilizer shortages in Europe before spring.
