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Shares of chemical and fertilizer producers fall after Citi says the recent spike in natural gas...

Shares of chemical and fertilizer producers fall after Citi says the recent spike in natural gas prices could affect Q4 earnings. Natural gas is used as a feedstock for ammonia production and typically makes up 60%-80% of cash costs, which could affect North American producers such as CF Industries (CF -2%) and Agrium (AGU -1.2%). Also: DOW -0.7%, LYB -0.9%.
Comments (2)
  • With the corn supply down from the drought one would think the demand would be higher and higher. We haven't rerouted the corn supply to produce ethanol, livestock needs feed, demand is there farmers will grow more corn in 2013 which should cause a spike in fertilizer demand, unless stock piles of phosphorus are so high it's now time to play catch up. Nitrogen demand should be at an all time high too.
    8 Oct 2012, 04:44 PM Reply Like
  • a spike in low prices....OMG
    8 Oct 2012, 05:14 PM Reply Like
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