Commodities | Mar 01 2011
By Greg Peel
Industry consultant TradeTech's indicative uranium spot price was set at the end of last week at US$67.50/lb, down US$1.00 from the previous week. This follows a US$4.25 drop the week before and the first drop following the big run-up, of US25c, the week before that.
So that makes three down weeks but TradeTech suggests there are signs the spot price is stabilising. Nervous sellers remain aggressive but five transactions occurred for a total of one million pounds. Prices were in a range around what TradeTech finally settled on as the average. So while there weren't any new buyers emerging there was still interest being maintained at these slightly lower levels.
The previous week's speculative seller with 800klbs is still out there evaluating bids, TradeTech notes, and another 300klbs is on offer from a utility. But there are also speculative buyers in the mix as well as utilities.
Meanwhile over in the term market, several parcels continue to be sought including 2.2mlbs for 2012-19 delivery. Term prices remain unchanged at US$75/lb medium and US$70/lb long.
