How to Hedge Against Rising Food Prices

Despite who is to blame, it's likely we will continue to see increases in both fertilizer and food prices across the board. To hedge against these increases, investors can own fertilizer stocks. Despite who is to blame, it's likely we will continue to see increases in both fertilizer and food prices across the board. To hedge against these increases, investors can own fertilizer stocks. [Outsider Club logo] How to Hedge Against Rising Food Prices [Luke Burgess Photo] By [Luke Burgess]( Written May 11, 2022 There’s an old episode of "The Simpsons" that begins with Homer taking the family to a grocery store. While the family is there, Homer becomes disappointed to learn that he can't afford the live lobster from the tank. At $8 per pound, the price of lobster is just too high for the Simpson household. But that's when Homer gets a bright idea... Instead of buying a full-size adult lobster, he'll purchase a small juvenile lobster, feed it fatty foods, and eat it later. He proudly proclaims to Marge, “I tell ya, I’m a financial genius. I buy an $8 lobster, fatten it into an $80 lobster, and eat the profits!” [fvr] "The Simpsons" is well-known for having accurately predicted the future dozens of times. It's said the show foresaw everything from the presidency of Donald Trump to Disney acquiring 20th Century Fox. And, now, with food prices soaring to multi-decade highs, Homer’s lobster venture might be yet another accurate prediction made by "The Simpsons." The #1 Strategy for Biotech Stocks? It’s no secret that biotech is the most exciting investment arena there is. There’s never a shortage of demand for new treatments for the world’s worst diseases, like cancer, Alzheimer’s, and arthritis. And with my new trading system, “Project Greenlight,” you’ll always know with up to 95% confidence which of those new medicines will be approved by the FDA and which won’t... This could set investors up to make six figures or more in biotech profits. And right now, there's a tiny biotech firm trading for pennies on the dollar with a medicine that’s on the brink of FDA approval... [Learn more about this unique opportunity today.]( A TV station in Tennessee reported on Monday that one local man is fed up with the rising price of fish at the grocery store. Harvey Tallman told WBIR News, “The price of food has gone to the point where you can't afford to buy it… When you go to the store, check on the price of fish. It's almost $9 a pound. It's ridiculous." But Mr. Tallman isn’t content just complaining about fish prices. He’s taken action. WBIR reports that Tallman installed a 1,000-gallon water tank in his backyard and stocked it with 100 juvenile bluegill. The news station says Mr. Tallman hopes the fish will grow large enough to eat by September. [fvrin] Unfortunately, WBIR did not interview Mrs. Tallman. Because I sure would like to know what she thinks of Harvey’s seafood operation. On the surface Mr. Tallman’s fish venture is a bit humorous. But I don’t think Tallman deserves to be mocked or shamed in any way for his effort. In fact, just the opposite. Truth is, he’s doing more to fight food inflation than most of our elected politicians. And Tallman is not alone by any means. All over the country, people are growing more of the food they eat to combat inflation. Here are just a few recent headlines: "More people growing their own gardens this spring as grocery prices rise" — KCRG, Cedar Rapids, Iowa (Mar. 23, 2022) "As inflation continues, more people are turning to community gardens"— Spectrum News 1, Raleigh, North Carolina (Apr. 8, 2022) "The COVID-19 pandemic encouraged people to grow their own food; Inflation is pushing the trend forward"— Saint Albans Messenger, Saint Albans, Vermont (Apr 28, 2022) "Pandemic, high grocery prices lead more Americans to gardening"— Fox Business (Apr. 22, 2022) As much as I respect people like Mr. Tallman who are growing their own food to combat inflation, I think there’s a better and easier way to hedge yourself: Invest in fertilizer stocks. Fertilizer is a major expense in agricultural operations. The U.S. Department of Agriculture says fertilizer accounts for between 33% and 44% of a farmer's operations. So any significant increase in fertilizer prices will have to be passed down to the consumer. And for more than a year now, fertilizer prices have been increasing at an alarming rate. Here is the price change for the most used fertilizers over the past twelve months: - DAP, up 67% - MAP, up 54% - Potash, up 103% - Urea, up 96% - 10-34-0, up 48% - Anhydrous, up 116% - UAN 28, up 81% - UAN 32, up 87% [QUIZ] Most Investors Get This Wrong What do you think is about to kill Tesla? ([Skip ahead for the answer.]() - [Elon Musk’s tweets]( - [SEC]( - [Chinese competitor NIO]( - [Off-the-radar fuel (NOT hydrogen)]( No matter what you pick, when you really think about it, the answer isn’t actually that surprising. Make your selection to find out! Biden and the liberal hype machine are trying to pin all of the blame of rising food and fertilizer prices on Russia. But the fact is fertilizer prices have been rising for more than 18 months now. Russia had nothing to do with rising fertilizer prices until very recently. Despite who is to blame, it's likely we will continue to see increases in both fertilizer and food prices across the board. To hedge against these increases, investors can own fertilizer stocks. The two largest fertilizer stocks in North America are Mosaic Co. (NYSE: MOS) and Nutrien Ltd. (NYSE: NTR). Both have performed very well over the past year, increasing about 57% over the past 12 months. [fvrint] [fvrintf] Both Mosaic and Nutrien are multi-billion dollar firms. Their upside is limited. But I’ve recently discovered a tiny, almost completely unknown Canadian development company that owns the rights to one of the largest undeveloped fertilizer projects in the world. And the best part is after 10 years of exploration and development, the project is now ready to begin producing. If this project was ready five years ago, very few people would have cared. Five years ago, people weren't worried about skyrocketing food prices. But today with fertilizer prices breaking all-time price records, there's never been a better time to own an important fertilizer asset. It's a project that is so exciting and has so much upside potential, I think it's going to be one of my biggest winning stock picks in my 20-year career. I've just finished putting the final touches on a fully-detailed, 7,000-word report that tells investors all about this company and its incredible project. And you can get access to this report right now for free. Just click [here](. Until next time, [Luke Burgess Signature] Luke Burgess --------------------------------------------------------------- This Could Spell the End of Oil, Coal, and Natural Gas Because the war between Ukraine and Russia continues to drive oil prices to record heights… The U.S government is secretly investing in a new “emission-free” fuel that could soon spell the end of Big Oil for good… Nobel Prize-nominated investor David White calls it “a game-changing technological advancement.” This new fuel is 40,835 times more powerful than natural gas… 67,389 times more potent than gasoline… and 78,171 times stronger than coal. In fact, the Energy Information Administration has recently confirmed that this “emission-free” fuel is the cheapest form of energy on this planet. And there’s a small company behind it that’s about to ignite a $1.9 trillion energy revolution. [Here’s how you could collect a 46,018% windfall from this company’s breakthrough discovery.]( Browse Our Archives [This Gives a Whole New Meaning to “Sell in May and Go Away”]( [A $2 Trillion Bombshell]( [The Federal Reserve and the Extra 3%]( [Gold: "The Most Confusing Commodity"]( [Ukraine vs. Russia: The First Country to Fall Will Be Neither]( --------------------------------------------------------------- This email was sent to {EMAIL}. It is not our intention to send email to anyone who doesn't want it. If you're not sure why you've received this e-letter, or no longer wish to receive it, you may [unsubscribe here]( and view our privacy policy and information on how to manage your subscription. To ensure that you receive future issues of Outsider Club, please add newsletter@outsiderclub.com to your address book or whitelist within your spam settings. For customer service questions or issues, please contact us for assistance. 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