“Suppliers expect prices to continue climbing and are under no pressure to sell, which has made spot uranium supplies extremely thin,” TradeTech President Treva E. Klingbiel said.
Denver, CO (PRWEB) November 8, 2010
TradeTech’s uranium spot price rose dramatically last week, soaring to a record two-year high of US$57.50 per pound uranium oxide (U3O8) on November 5, as buyers from a variety of market segments remain active in the uranium spot market.
The steep price rise represented more than a 10 percent increase compared to TradeTech’s October 31 Exchange Value(1) of $52 per pound U3O8. “While the level of spot market demand is primarily discretionary, it is exceptionally high, with buyers including utilities, traders, and producers,” said TradeTech President Treva E. Klingbiel. In addition, the recent rise in uranium prices has attracted the attention of investors and speculators, with hedge funds venturing back into the market, TradeTech noted in its November 5 "Nuclear Market Review."
The uranium spot price gained strength throughout the past several weeks, driven largely by utilities seeking offers for spot, mid- and long-term deliveries. This increase in demand has encouraged sellers and has led to steadily higher prices in offers and transactions. “Suppliers expect prices to continue climbing and are under no pressure to sell, which has made spot uranium supplies extremely thin,” Klingbiel said.
Utility and producer demand is expected to remain strong throughout November and TradeTech expects uranium spot market prices to remain firm or increase slightly.
(1)TradeTech’s Exchange Value reflects the company’s judgment of the price at which spot and near-term transactions for significant quantities of natural uranium concentrates (U3O8) could be concluded as of the last day of the month.
TradeTech publishes the Nuclear Market Review (NMR) each Friday evening, which reports the weekly uranium spot market price, uranium trading activity, industry news, and market data. The monthly edition of the NMR, published on the last day of each month, includes TradeTech Market Values (Exchange Value, UF6 Value, Loan Rate, Conversion Value, SWU Value, and Transaction Value) and Mid- and Long-Term Price Indicators, as well as analysis related to these price determinations, supply/demand information, and industry news. TradeTech also publishes The Nuclear Review, a monthly trade publication dedicated to the international uranium and nuclear energy industry.
TradeTech, and its predecessor companies–NUEXCO Information Services, CONCORD Information Services, and CONCORD Trading Company–has supported the uranium and nuclear fuel cycle industry for more than 40 years, and is widely recognized for its expertise in trading activities and its comprehensive knowledge of the technical, economic, and political factors affecting this industry. TradeTech provides expert market consulting, participates in the buying and selling of uranium products and services, and maintains an extensive information database on these industries.
For general and media inquiries contact:
Denver Tech Center
7887 E. Belleview Avenue
Englewood, CO 80111
Web site: http://www.uranium.info