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But is the sky falling here, or is just a bluff? Per the article you attached:
On the other hand, many experts suggested that Uralkali is bluffing to force Belaruskali into a settlement that would keep the oligopoly structure intact.
“This is not the first time that Russian producers have had disagreements,” Agrium spokesman Richard Downey said. “It is important not to overreact to a single statement from one player in the industry and we plan to continue with normal course of operations.”
Reply to @JoeNoEskimo: It could very easily be a bluff and I tend to think that when everyone is acting like the industry is going to collapse it very well may be. However, I think it depends on one's desire to find out whether or not that is the case. Buy when everyone else is running away? Sometimes, absolutely. Sometimes it's best to try and not pick a bottom - after it was down fairly significantly, you had a whole bunch of people write about how Potash was a buy. A couple days later, this.
I still think SQM is kinda interesting long-term due to their lithium production, but I've just moved towards duller (or at least more consistent) things.
I do like ag, but it just becomes a matter of how to comfortably play that long-term being the question. ADM now owns Graincorp and I loved the latter before it was bought, so that may be appealing. Dupont may spin off its ag/nutrition. I really like the Andersons (ANDE), but that stock is extremely volatile.
I think the other thing is this: those who like ag should also look at water plays.
Comments
http://www.bloomberg.com/news/2013-07-31/potash-s-20-billion-market-transformed-by-uralkali.html
http://www.bloomberg.com/news/2013-07-30/uralkali-sees-potash-price-slump-after-exiting-bpc-trade-venture.html
‘The end of the potash world as we know it’ is no exaggeration
But is the sky falling here, or is just a bluff? Per the article you attached:
On the other hand, many experts suggested that Uralkali is bluffing to force Belaruskali into a settlement that would keep the oligopoly structure intact.
“This is not the first time that Russian producers have had disagreements,” Agrium spokesman Richard Downey said. “It is important not to overreact to a single statement from one player in the industry and we plan to continue with normal course of operations.”
Stay tuned.
I still think SQM is kinda interesting long-term due to their lithium production, but I've just moved towards duller (or at least more consistent) things.
I do like ag, but it just becomes a matter of how to comfortably play that long-term being the question. ADM now owns Graincorp and I loved the latter before it was bought, so that may be appealing. Dupont may spin off its ag/nutrition. I really like the Andersons (ANDE), but that stock is extremely volatile.
I think the other thing is this: those who like ag should also look at water plays.