GREY:SXRZF - Post by User
Post by
fireintheholeon Aug 24, 2007 10:50am
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Post# 13295580
U.S. dumping U - (waynecdn)....
U.S. dumping U - (waynecdn)....Jim Dines had this to say on the subject, recently. This is an excerpt from a story on CBS MarketWatch.
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Dines did offer an interesting caveat: "There could be a crash in the price of uranium, perhaps instigated by the American government dumping its holdings on the market as it conspires with nuclear-plant operators to lower the cost of electricity for the public and thus gain votes. That might well be what is happening right now ... the American government has announced the sale of 520,000 pounds of U3O8."
But he added: "We doubt that this cause of uranium weakness will last much longer. How come? Because we have witnessed government's central banks dumping their gold and silver holdings in the past, yet those precious metals kept moving up, so we are skeptical that America has enough uranium to seriously "break" its bull market."
Dines said he envisaged "A broad trading range ensuing as markets attempted to balance buyers and sellers."