Uranium Spot Price Up to $53/lb!
Monday, November 17, 2008 at 7:09PM
Uranium Stocks in Uranium
Uranium Chart 18nov08



As we can see from the chart above the spot price for uranium has crept up a little recently from $45/lb to $53/lb over the last few weeks, according to TradeTech who commented as follows:

“Significant demand continues to emerge with off-market buyers acquiring over one million pounds U3O8 equivalent in five transactions over the past week, with each transaction concluded at successively higher prices. The buyers were utilities, intermediaries, and producers. Buyers are willing to pay higher prices to secure material and sellers, sensing that the momentum has shifted back in their favour, are raising offer prices with each new inquiry from buyers. As a result, TradeTech’s Spot Price Indicator rose this week to $53.00 per pound U3O8, up $5.00 from last week’s indicator.”




Even though the long-term price, $70/lb, is the price to watch it is encouraging to see the spot price make some progress in the right direction. The mining stocks in this sector remain bombed out with just the occasional flicker of life here and there such as the takeover of Forsys Metals Corporation. However we will continue to look for confirmation that this is close to the bottom, if not the bottom of this cycle. Over at NYMEX the futures prices are as follows, December 2008, $53/lb, December 2009, $60/lb, March 2010, $65/lb, so not a great deal of change there, but never the less a positive one. The Obama factor has yet to show itself as the president-elect prepares to take office. Whether or not his policies will be pro-nuclear will be determined by his actions, which we need to see.

Have a good one.

If you are new to investment in the precious metals sector then you may wish to subscribe of our FREE newsletters regarding gold stocks, silver stocks and uranium stocks, just click on the links.


Article originally appeared on Uranium Stocks (http://www.uranium-stocks.net/).
See website for complete article licensing information.