Commodities | Nov 13 2007
By Rudi Filapek-Vandyck
The weekly spot price for uranium oxide (U3O8) took a breather in the past week, at least as far as industry consultant TradeTech is concerned.
When the consultant raised its weekly spot price indicator last week to US$93 per pound it commented the decision was inspired by the fact that industry feedback had indicated it would take prices above US$90 per pound for deals to settle successfully. It turns out that assessment was correct with some deals having been concluded in the past week and they were likely all around that price level.
TradeTech left both its short term weekly price indicator and its long term price indicator unchanged at US$93 and US$95 per pound respectively. There were deals in both markets.
Ux Consulting, the other industry consultant who sets benchmark prices, raised its weekly spot price to US$90 per pound last week and may well catch up with TradeTech this week.
According to TradeTech, the past week generated four transactions totaling almost 450,000 pounds U3O8 equivalent. Interest from financial investors in the sector remains present as well as doubts among both buyers and sellers regarding the short term outlook of spot prices, TradeTech reports.
