Potash is the third most important crop nutrient consumed globally. According to the IFA (International Fertilizer Industry Association), potash fertilizer accounted for almost 17% of the total global NPK consumption in the 2015–2016 planting season. Among the different types of potash fertilizers, MOP (muriate of potash) is used the most.
Potash fertilizers are available in granular and standard grade. The prices of granular potash at three of the locations above were broadly flat week-over-week. Potash prices in the US Cornbelt region moved sideways to $242 per metric ton last week. Potash prices in NOLA (New Orleans) also moved sideways to $211 per metric ton week-over-week. In Brazil, potash prices were flat at $281 per metric ton in the week ending January 12.
Prices for the standard grade of potash in South East Asia fell week-over-week to $259 per metric ton from $260 per metric ton last week.
YoY (year-over-year), the potash prices at each of the above locations have held steady, which is positive for producers (MOO) like Nutrien (NTR), Mosaic (MOS), Intrepid Potash (IPI), and Israel Chemicals (ICL). In the Cornbelt region, potash prices rose 8% YoY. In the NOLA region, prices rose 10% YoY, while potash prices in Brazil rose as much as 17% YoY. Last week, standard potash prices in South East Asia were 7% higher YoY.
Next, we’ll discuss fertilizer affordability.
On Wednesday, January 10, 2018, Warren Buffett discussed how tax reform could benefit the stock market and his opinion on cryptocurrencies in an interview with CNBC.
Broadcom (AVGO) stock fell ~8.5% after markets closed yesterday following the semiconductor giant's fiscal 2019 second-quarter earnings release. It missed analysts' revenue estimate and cut its fiscal 2019 revenue guidance by $2 billion to $22.5 billion due to sluggishness in its semiconductor solutions business.
The SPDR Gold Shares ETF (GLD), which tracks physical gold prices, has underperformed the broader markets year-to-date, rising just 4.4% compared to the S&P 500’s (SPY) gain of 15.9% as of June 14. The sentiment for gold, however, has been turning around.
Safe havens such as Treasuries and gold were back in favor on June 14 as stocks fell due to rising tensions in the Middle East, concerns over growth, and the looming threat of the US-China trade war. The tech-heavy Nasdaq Composite Index fell 0.67% in the first hour of trading.
Lululemon (LULU) stock rose 2.1% on June 13 in reaction to better-than-expected first-quarter results and an upgraded outlook for fiscal 2019 overall. The company's first-quarter adjusted EPS grew 34.5% to $0.74 on revenue growth of 20.4% to $782.32 million. Analysts had expected EPS of $0.70 and revenue of $755.31 million. Here's why the outlook got an upgrade.
As of 4:40 AM Eastern Time today, US crude oil active futures were at $51.83, ~4% below their closing level in the previous week. If US crude oil prices stay at those levels today, they'll mark their third week of decline in five weeks.
Amazon is discontinuing its Amazon Restaurants service, which has been delivering food for restaurants in parts of the United States. Amazon Restaurants launched in the United States in 2015 and entered the British market the following year. However, it met strong opposition in the British market.