Summary

• The war in Iran has triggered fertilizer shortages which have dominated agricultural commodity headlines in recent months and for good reason.
• El Niño is a climate pattern driven by warming of sea surface temperatures in the central and eastern Pacific Ocean.
• We believe the upcoming El Niño cycle is a meaningful tailwind for agricultural commodity prices, creating an opportunity for commodity investors across several key markets.

By David Waugh

As El Niño’s return threatens to add food price inflation to existing supply disruptions, we see a strong case for investors to increase commodity allocations.

The war in Iran has triggered fertilizer