There will be several companies that "tack a zero" onto their market value from this trend
Uranium is the newest bull market in the commodity space.
The bull case for uranium – the chief fuel for nuclear reactors – is simple: Emerging Asian nations, particularly China and India, are Westernizing. Their populations want air conditioning, refrigerators, iPods, and YouTube. That means electricity. These countries will go on a building spree of nuclear power plants to meet the exploding demand for electricity.
But there is a real lack of new, near-term uranium production. That means supply won't increase as much as demand… and uranium prices will rise.
I haven't told you anything new… yet.
The factors I just outlined produced a more than 10-fold rise in the uranium price from 2003 to 2007. The end of that rally was fueled by speculators, who helped produce a subsequent crash. This crash, along with the economic crisis of 2008-2009, hammered uranium prices and the companies associated with it.
But that didn't change the situation in China and India one bit. And here's where it gets interesting…
Starting in about June, the price of uranium made a major breakout… It just recently hit a high for the year.
We've been seeing some major moves from uranium miners as well. Below is a chart of Cameco (NYSE: CCJ), the world's second-largest uranium producer…
Cameco is up 31% since June 1. And it's not the only uranium producer in a huge bull rally…
As you can see, these companies performed unbelievably well over the last four and a half months. And I expect more big things for this group.
There will be several companies that "tack a zero" onto their market value from this trend… and onto your investment, too. You should add some uranium to your portfolio to take advantage of this emerging bull market.