Daryan

Potash's Negative Price Implications

I have no position, but I wouldn't read to much into the pricing of this deal. From what I understand, the deal was consummated at a low price because of some government influences on both sides, and that expected pricing should remain elevated. To think pricing will fall in 2010 compared to 2009, when potash supplies are falling, global demand should be increasing, etc is counterintuitive.