After several weeks of treading water at $72/lb., the spot price reported by UxC has increased to $75/lb. While it took time for the market to digest a jump from $65 to $72 in one week, there never was a pullback. In the 20 months that I have been following the weekly spot price for uranium it has never gone down. Pretty amazing, I think.
Unless the news at Cigar Lake is unexpectedly positive, I continue to think we are likely to see $100/lb. by the middle of the year. While the price is no doubt held aloft to a certain extent by speculative buying, the supply/demand imbalance is very real.
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