Diamonds and Dogs
7/30/13Potash Corp. of Saskatchewan Inc. (POT)
Potash is stinking up the market today, down 16.49% at $31.65. The fertilizer company saw its shares drop after news that Russia's Uralkali, the world's largest potash producer, broke up a cartel with Belarus that controlled about 43% of global exports. Uralkali is making the volume-over-price move to steal market share and boost sales to China, completely turning the global potash market on its head. In fact, Uralkali's decision is expected to cause potash prices to plunge to January 2010 levels, or about 25% to about $300 per ton by the end of year. The deal has sent all potash companies lower including Mosaic and SQM. Potash Corp shares fell to a new 52-week low of $29.00 intraday.
Pitney Bowes Inc. (PBI)
Pitney Bowes is trading in the green today, up 12.70% at $16.59. The software and hardware company saw its shares jump after announcing it would sell its management-services unit to Apollo Global Management. The deal is worth around $400 million and is an all cash deal which is expected to close in the fourth quarter of this year. The company said that selling the unit will let Pitney Bowes focus on mail products and services and digital-commerce offerings. It's part of a series of strategic moves to realign the business. Pitney Bowes shares jumped to a new 52-week high of $17.00 intraday.
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