Trading data for uranium remains as rare as hen’s teeth with investors tracking the next uranium auction with the view that a result will be indicative of uranium’s future direction.

According to the usual sources, the UX Consulting Company and TradeTech the spot price remains stable at $85/lb.

However when we take a quick look at yesterdays action in the futures market we can see that the December contract traded at $92/lb with 2008 trading at $90/lb. One swallow does not make a summer but we interpret this as being positive for uranium, as the plunge in the price does appear to have abated for now. So if uranium can stick around at these levels then the quality uranium mining and exploration companies should be able to operate with profitable margins.

Most of the uranium stocks that we monitor are making recoveries although some are slower than others. The near term should be a period of consolidation for uranium and continuing recovery for the stocks.

Hang on in there things are improving almost on a daily basis and stay tuned with our free newsletter, just follow this LINK.