Natural Gas Price Changes for Nitrogen Fertilizer Producers

Low natural gas prices in the United States have been a significant benefit to companies (XLB) such as CF Industries (CF), CVR Partners (UAN), Nutrien (NTR), and Mosaic (MOS). In the Market Realist article Analyzing the Global Cost Curve of Nitrogen, we saw how lower natural gas prices benefit nitrogen fertilizer producers by increasing their margins. While there are expectations that natural gas prices will remain low, let’s see how they performed last week, which ended August 24.