Diamonds and Dogs
Trump is good for concrete sales. U.S. Concrete (USCR) jumped 2.75% today thanks to positive comments from the CEO. The stock is up 30% since the election as the CEO made optimistic projects for increased funding (infrastructure spending) and maybe a wall between the US and Mexico once Trump is in the White House. The positive comments were primarily about increase spending for roads and bridges. Infrastructure spend/lower tax could also be a longer term benefit in 2018 and later.
Mosaic (MOS) does not smell good. The fertilizer company announced the acquisition of competitor, Vale (VALE) for $2.5 billion today, but shareholders don't seem to like the news as Mosaic dropped 6% and Vale dropped 5%. Vale will have the potential to earn an additional amount of up to $260 million to be paid in cash over the two-year period, but in the current year the deal will not add to earnings.