Chart courtesy of u308.biz.

As we can see from the above chart the mini rally in the uranium spot price was short lived as the festive season brought with it some lacklustre trading. The chart also shows the price of oil falling out of bed and gold beginning to recover from the recent sell off caused by the flight to cash.

TradeTech commented as follows:

As year-end approaches, there is a growing gap between bids from willing buyers and offers from willing sellers, primarily due to a mismatch in delivery timing desired by the parties. Sellers are generally looking to place material sooner than buyers are willing to accept delivery. Spot demand remains strong, but a significant portion of active demand involves delivery in 2009. In particular, one non-US utility is looking for approximately 2 million pounds U3O8 with delivery to occur by June 2009. As year-end approaches, there is a growing gap between bids from willing buyers and offers from willing sellers, primarily due to a mismatch in delivery timing desired by the parties. Sellers are generally looking to place material sooner than buyers are willing to accept delivery. Spot demand remains strong, but a significant portion of active demand involves delivery in 2009. In particular, one non-US utility is looking for approximately 2 million pounds U3O8 with delivery to occur by June 2009.

Over at NYMEX the data tells pretty much the same story with the December 2008 contract trading at $53/lb and the December 2009 contract trading at $59/lb.

Uranium stocks continue to remain range bound with the odd exception and at a very low level indeed, maybe the Obama effect will bring this tiny market sector back to life next year. We have constantly monitored the horizon for signs of a recovery but it appears to be hibernating like an over fed bear that can’t be bothered at the moment.

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