• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 55 mins GREEN NEW DEAL = BLIZZARD OF LIES
  • 9 days The United States produced more crude oil than any nation, at any time.
  • 1 day Could Someone Give Me Insights on the Future of Renewable Energy?
  • 15 hours How Far Have We Really Gotten With Alternative Energy
  • 10 hours Bankruptcy in the Industry
Dave Forest

Dave Forest

Dave is Managing Geologist of the Pierce Points Daily E-Letter.

More Info

Premium Content

Someone Likes Cheap Uranium

The spot uranium market hit another new low in July.

Spot Uranium prices slipped to $34.50 per pound during the month. Down over 20% since the beginning of the year.

It's true that the spot price is a bit of a misleading indicator. Volumes traded at spot are tiny compared to uranium bought on long-term contracts (where prices are sitting at a more muscular $55 per pound).

But there is something the spot market may be telling us. That buyers are starting to get interested at current prices.

While prices have been falling in 2013, spot market volume has actually been strengthening. The spot market so far this year has seen 181 transactions, for a total of 26.27 million pounds. Up 32% from January-to-July 2012.

This is a significant increase in activity. Suggesting that low prices are enticing buying into the market.

It's a small amount, unlikely to have a material effect on the supply-demand balance. But it might provide a useful barometer of buyers liking what they see at this price level.

If fuel buyers think it's a bargain, it might be a sign prices have fallen far enough.

Here's to finding the floor,

ADVERTISEMENT

By. Dave Forest


Download The Free Oilprice App Today

Back to homepage





Leave a comment

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News