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Spot Uranium On The Rise

Commodities | Oct 29 2009

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By Rudi Filapek-Vandyck

Spot uranium might be on the rise, but there’s no agreement between the two industry consultants about where the spot price at present should be. This is not an exceptional event as both TradeTech and Ux Consulting have set different price benchmarks for the industry at other times in the past. Ultimately, both price-setters fall back in line with each other, at some point.

This time around the gap is half a US dollar wide with TradeTech lifting its weekly spot price indicator for U3O8 to US$50/lb, but peer UxC has refused to go further than US$49.50/lb.

In terms of longer term price benchmarks, the price differential is currently one full dollar, with TradeTech reporting US$65/lb and UxC sticking to US$64/lb.

Maybe the main message for investors and sector enthusiasts to take away is the fact that spot prices are back on the rise?

Even on UxC’s assessment, spot prices rose by US$1.75 per pound last week.

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