Record Corn Crop Could Boost Fertilizer Stocks
Sasha Cekerevac, co-editor for financial newsletter and Website Penny Stock Detectives, reports that strange weather patterns in key parts of the world have hurt their agricultural commodities crops, especially corn, a fact that U.S. farmers are looking to take advantage of.
In his recent Penny Stock Detectives article, Cekerevac points out that corn needs more fertilizer than other agricultural commodities and there are already reports that some U.S. farmers are worried there might not be enough fertilizer available to meet all of the demand.
The same problem may arise with potash, which is one of the most important nutrients for plant growth.
This is a great sign for potash stocks, Cekerevac believes.
“With the mildest winter in years for much of the U.S., this will certainly change the way agricultural commodities are going to be planted and harvested this year,” explains Cekerevac.
Cekerevac notes that there are reports that China’s storage of its agricultural commodities from last year was done poorly and therefore the country is suffering from losses due to mold.
This is part of the reason that we’ve seen a huge amount of agricultural commodities being purchased in recent weeks from U.S. farmers by the Chinese.
Meanwhile, the weather in Europe, especially in Russia and the Ukraine, has been bitterly cold, the complete opposite of the U.S. This has harmed these countries’ winter crops and their ability to plant early and maintain a high yield of agricultural commodities.
Planting has started in the Midwest and the crop being planted heavily right now is corn, Cekerevac comments.