Takeaway

The presenter argues that undervalued commodity sectors, specifically meats and fertilizers, are now beginning to rally. With oil prices pushing into the 90s and other commodity groups having already moved, the speaker sees this as a new post-summer phase where the fundamental stories for cattle, hogs, and names like Mosaic should start to work.

What the presenter said

• The presenter notes that oil prices have "popped up into the 90s," which is creating more opportunities in the commodity space. [00:05]
• Commodities and resources, which were previously cheap, are now starting to catch up to other asset classes. [00:08]
• The meat sector is now showing upward movement, following previous rallies in grains, metals, energy, and soft commodities. [00:26]
• Specifically, the presenter observes that the price of cattle and hogs are starting to go up. [00:36, 00:40]
• Mosaic (MOS), a long-held position in the fertilizer sector, is now "kicking in" after the position was enhanced last week. [00:48]
• The speaker believes there is significant room for growth in the fertilizer sector, highlighting Mosaic as one of their largest positions. [01:11]
• The market is viewed as entering a new phase post-summer where fundamental stories for commodities are expected to drive prices. [01:21]

Trade ideas

The presenter put forward no actionable trade ideas. The overall market view is bullish on the meat sector (live cattle, lean hogs) and the fertilizer sector, specifically mentioning a long-held and recently enhanced position in Mosaic (MOS).

Levels and data cited

• Oil: Currently trading in the "90s".