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  • RBC Analysts Expect Potash Corp. Stock to Double [View article]
    Well, this last poster might be right, but where is the analysis to support it. The bail out of Freddie and Fannie should stabalize the housing ,market (I agree housing prices should be lower). However, this is a different argument. The price of housing has a relationship with a persons salary. As mortgages become harder to find (eg because you can no longer borrow five or six times your annual salary to buy a house) then the market will fall until houses are priced at a value where people can start buying again (maybe 3-4 times salary). The bail out will mean a weaker dollar and this in turn will be bullish for commodities which POT seems to be linked to (although I'm not sure why).

    Finally, the fundamentals for POT are still sound, the number of shares available are reducing due to the Company Buy back and the market for fertilizer is as sound as ever, all good reasons to stay in POT. So, you might be right, but you've not convinced me to bail yet.
    Sep 07 14:13 pm |Rating: 0 0
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