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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (48838)	7/19/2012 5:52:12 PM
From: NikhilJog	Read Replies (1) \| Respond to of 78740

EKS - this is interesting. I was infact think about this today. One thing i was looking at is meat companies, people who are actually raising animals, like PPC's of the world. You will see margin compression there. On ethanol the govt. made a statement that they are not cutting down on the ethanol quota yet. however, by some accounts the situation is pretty bad. I would not focus so much on the oil aspect as that market is governed by lot of other factors... However, i will focus on companies that use corn for animal feed. In addition, if there are cheap seed companies, thats another thing to look into for next yr.....

To: E_K_S who wrote (48838)	7/20/2012 10:46:33 AM
From: NikhilJog	Read Replies (2) \| Respond to of 78740

EKS - here is something on the crop from I read and related to your earlier question. another way to play the drought. "Drought set to hit crop insurers. The drought could cause crop insurers - such as Ace ( ACE), QBE ( QBEIF.PK) and Wells Fargo ( WFC) - to suffer their first underwriting losses in ten years. However, with the government providing subsidies and reinsurance, taxpayers may have to foot 50%-80% of the bill. The severity of the drought is making it tempting for farmers to give up on their crops and claim the insurance rather than try to save their products."