Uranium

Sellers are being forced to lower prices in the face of a lack of spot market buying interest from utilities.

Macquarie believes uranium inventories are building across the globe, suggesting near term downside risk for the spot uranium price.

The first Japanese reactor restarts are now “very close”, according to the country’s nuclear regulator.

Volumes have increased in the uranium market as utilities begin to return as buyers.

JP Morgan suggests near-term strength in the uranium price will eventually give way to oversupply-driven weakness.

The spot uranium price ticked up further in a week in which excess US government inventory and uneconomical Japanese reactors were the talking points.

Brokers believe BHP’s South32 spin-off will result in a win-win, with both companies offering attractive yields post demerger synergies.

On the fourth anniversary of Fukushima, the uranium price remains 42% lower than its pre-earthquake level.

Buying interest improved in the spot uranium market last week, although buying remains discretionary and not desperate.

Uranium prices traded a little higher last week but the market is now closely watching to see whether fresh sanctions against Russia might impact on uranium trading.