Central Florida: It was business as usual in Central Florida last week – which at this time of year meant there was hardly any business at all.
Sources said available phosphate was next to nonexistent through March, though some were gearing up to bring in April shipments at a $450/st FOB price point for DAP, with MAP commanding an extra $10/st FOB. Even those were expected to be severely restricted, possibly limited to as few as four railcars of DAP and MAP combined.
Actual transactions for the week were limited to a handful of reported truck sales into the state carrying a $460/st FOB price tag.
Mosaic raised its posted price for Central Florida DAP to $430/st FOB.
The parched Northeast received a mixed blessing as Winter Storm Nika swept through the region, bringing a mix of snow, sleet, and freezing rain.
Mostly light snow was reported as a rumored super storm failed to materialize, but locally heavy snowfall was seen in parts of New York and Massachusetts. Freezing rain shut down areas of eastern Pennsylvania, and a state of emergency was called in New Jersey due to a winter mixture.
Heavy rain in the South wiped out much of the region’s pre-drought conditions, and a reported 2-4 inches of rain in south-central Florida all but erased a large zone of abnormal dryness that had lingered for months.
Planting season in Florida is expected to kick off as early as late February.
The price of DAP in Central Florida rose to a range of $430-$460/st FOB, up from the previous spread of $415-$450/st FOB, based on most recent sales and Mosaic’s posted price. Sources expected MAP to bring a $15-$20/st FOB premium, but no transactions were reported.
U.S. Gulf: Trading remained relatively thin on the NOLA barge market, though prices moved closer toward the high end of the previous reporting period’s range. Prompt sales were disclosed at $438-$452/st FOB for the week. The low numbers were achieved early in the week. Late-week trading shot to $452/st FOB however, and rumors circulated that a transaction had concluded at $455/st FOB.
A confirmed MAP transaction with a late-February loading date was valued at $470/st FOB.
Sources pointed to slow terminal sales as one explanation for the overall limited volume of transactions, but expected trading to pick up as the weather warms and end-users come out to play. Supply was also said to be tight, and PotashCorp announced they were sold out through the first quarter.
Terminal prices were quoted in a range of $460-$470/st FOB, with the bulk of sales coming from those located in warmer climes.
Conditions on the Mississippi River were mostly unchanged from the previous week. Lock closures were reported in Wisconsin, Illinois, and Missouri. Rock removal at Thebes, Mo. was still underway, and passage was expected to be limited to nighttime hours for about a week.
Ice prompted tow restrictions on the Illinois River, and Gulf activity was delayed when a 10-mile stretch of the Mississippi above Head of Passes was closed while the U.S. Coast Guard searched for a sunken 48-foot tugboat that posed a potential hazard.
A 4 p.m., Feb. 6 check on the commodities market found corn, soybeans, and wheat considerably elevated after unofficial reports indicated international supplies were lower than analysts’ expectations.
For March 2014, corn was $4.43/bushel, an increase from the $4.335/bushel for the previous reporting period. Corn for May 2014 was posted at $4.485/bushel, higher in comparison to $4.395/bushel the week before. December 2014 corn contracts checked in at $4.5825/bushel, an increase from the previous week’s $4.5025/bushel.
The soybean price for March 2014 rose to $13.2575/bushel last week from $12.75/bushel a week earlier. Beans for May 2014 were posted at $13.1175/