Natural gas prices
Last week, which ended October 12, global tensions remained high, and natural gas prices spiked as the overall stock market traded in the deep red. An increase in natural gas prices raised the costs for companies (MOO) such as CF Industries (CF), Nutrien (NTR), and CVR Partners (UAN). Let’s look at the movements in natural gas prices and the short-term outlook.
Natural gas prices last week were higher in most US locations. At Henry Hub, the most heavily traded location, natural gas prices rose to $3.37 per MMBtu (million British thermal unit) from $3.26 per MMBtu. According to the EIA (U.S. Energy Information Administration), last week was the fourth consecutive week that natural gas prices have risen on a weekly basis.
The EIA published its latest Short-Term Energy Outlook report on October 10. It estimates that natural gas prices will average $2.99 per MMBtu. The EIA estimates that natural gas prices will average $3.12 per MMBtu in 2019.
Next, let’s look at the price movements for phosphate fertilizers.