LT Investor

Potash Upgraded by Goldman Sachs: Get Ready for a Rebound

I think the case for POT is even stronger than for MON as an agriculture play, since potash (the nutrient) is proven to boost crop yields and has no political risk, while there seems to be ongoing formal debate in a number of countries (i.e. EU recently) whether to allow usage of Monsanto seed products - and for good reason, since we don't fully know the health consequences of GMO. I've been long some POT but am hoping for a dip to get some more. Looks like the POT train has left the station, though.

RBC Analysts Expect Potash Corp. Stock to Double

I too bought in a few wks ago - too early! It seems the POT bears' main argument is slowing global economy/demand (and the workers' strike if it doesn't end soon), and POT bulls mainly argue that potash prices will go up (i.e. fundamentals of fertilizer business). It seems obvious both points have merit. But which of the opposing factors will "win out"? If potash prices keep going up that much (from ~$500 to $1000 per tonne), will the farmers of the world just accept this? Is there a point where farming certain crops doesn't make sense anymore?

Also nervously long on POT.

The 2008 Historic Potash Handoff (Part V)

How does the price of oil affect POT? I've read that higher oil price also means higher cost for fertilizer makers. If oil resumes going higher, is this a worry for POT?

Potash Corp. Looks Good on the Pullback

I hope you are right (on the long-term up trend) - I got in POT at 220 last week. Not as good a price as now but I hope it won't matter much when POT resumes its run.