Agnico Eagle expands stake in First Nordic to 13%
First Nordic is finalizing its acquisition of the Oijärvi gold project in Finland.
Shares of Potash Corp and other fertilizer producers ebbed on Monday despite bullish industry data as a decline in U.S. corn and wheat prices signaled weaker demand for crop nutrients.
PotashCorp said on its website that potash inventories at the end of June fell more than 270,000 tonnes from the previous month, with North American inventories about 26% below the prior 5-year average.
The stock slid 25 cents to C$56.13 in Toronto and fell 1% to $58.56 on the New York Stock Exchange. Shares in PotashCorp rivals Mosaic Co and Agrium Inc. were also down as wheat, corn and soybean futures declined.
The softening stock prices come despite bullish news in the potash sector. PotashCorp is predicting prices moving closer to $1500 a tonne, and on July 15 the Financial Post, quoting a Citi analyst, said demand is expected to pick up in the fall:
Fall is expected to be a strong season for fertilizers after Spring application came in 10% lower that expected because of a slow start to planting. With grain prices riding high, farmers are expected to use more fertilizers to maximize yields.
