As fertilizer producers in North America enjoy late-season improvement in prices, investors are looking for clues from the companies this week about how much longer the gains will last.
While crop nutrients including nitrogen and potash have rebounded from recent lows, questions remain about the lingering impact of a global surplus and prospects for a slowdown in demand. Producers will begin reporting third-quarter results in the next week, starting Thursday with Potash Corp. of Saskatchewan Inc.
A rally in potash prices probably helped to boost earnings for the Saskatoon, Saskatchewan-based company to 12 cents a share in the quarter, excluding some special items, compared to 9 cents a year earlier, according to 19 estimates compiled by Bloomberg.
Potash Corp. said this month that it expects strong demand through the remainder of the year and is forecasting global shipments will be a record 62 million to 65 million metric tons.
Canpotex Ltd., the joint venture that markets offshore sales for Potash Corp. and its two largest North American rivals, said it’s sold out through December because of strong demand.
For the rest of this article: https://www.bloomberg.com/news/articles/2017-10-24/looking-for-clues-to-fate-of-fertilizer-rally-amid-world-surplus