TSXV:VEC.H - Post by User
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RegisLabeaumeon Nov 29, 2009 6:19pm
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InfoUranium Demand Could Outstrip Supply For Three Years Straight (CCJ)
While Uranium prices have fallen from 2008 levels, there's reason to believe they could potentially be back on the upswing.
World uranium consumption outstripped production in 2008 and could do the same in 2009 and 2010. According to the Australian Bureau of Agricultural and Resource Economics (ABARE) this could send uranium prices up 22% from a forecast average of 46.4 US$ in 2009 to $56.7 in 2010.
Meanwhile, Nymex Uranium futures for December 2010 delivery appear to be around $48.50. Thus ABARE's last commodities outlook might not yet be priced into the market consensus for this radioactive metal.
One potential uranium-related play might be Canada's Cameco (CCJ), though we caution investors to due their own due diligence on any stock.
The author does not own shares in Cameco (CCJ).