Newsletter summary
On May 13, the main contract of urea futures rose 0%.Retroarcadegames.66% to 2124 yuan. Hongyuan Futures believes that the room for urea to rise is limited, and Green Dahua Futures expects short-term prices to fluctuate widely. it is recommended to wait and see or find bargains much shorter.
Text of news flash
On May 13, the urea futures market showed a strong side.RetroarcadegamesThe trend, the price of the main contract once jumped to 2128.00 yuan. As of the close, the main urea contract closed at 2124.00 yuan, an increase of 0.66%. Market professionals made an in-depth analysis of the future quotation of urea futures. [Hongyuan futures analysis points out that the rising space of urea price is limited] at present, the fundamentals of supply and demand of urea market are not obviously tight, and it is expected that both supply and demand of urea will show a downward trend in May. According to the data, as of May 9, the total inventory of Chinese urea enterprises was 394000 tons, a decrease of 63000 tons compared with the previous period. Although the support of the urea market remains in early and mid-May, including the impact of early destocking, the increase in maintenance and the high operating rate of the compound fertilizer industry, considering that current prices have already reflected these factors, investors are not advised to pursue higher. Hongyuan Futures further predicts that urea prices are likely to weaken in mid-late May, mainly affected by the return of maintenance and the forecast decline in compound fertilizer production. [green Dahua Futures predicts that urea prices will fluctuate in a wide range] the domestic urea market remained high over the weekend, and prices in some areas even rose 10-40 yuan / ton. Although the waiting demand of the upstream market supports the price, and some urea production plants in the main producing areas are in a state of maintenance, the middle and lower reaches of the market are more cautious about the acceptance of urea. Green Dahua Futures recommends that investors stay on the sidelines in the short term, or carry out short-term bullish operations during the price correction. The reference trading range for UR09 contracts is 2050-2180 yuan.
