RE:FCU, NXE, and Uranium Participation unchanged todayI can add a couple:
1) the move in the spot is a result of the increased U buyer interest recently reported. We, the common investor don't have access to that info, until after the fact. For lack of a better term I'll call them "speculator" types do have access and they started driving the sector back at the $0.49 recent bottom knowing an uptick in the U spot was coming. I've always wondered why stock prices lead the commodity price up - I think it is possible that there is a level of "insider" knowledge that we don't have access to. Best to stay long.
2) I was surprised to see how large the spot market in U is, I recall that "we" reported this week that year to date some 43M lbs were transacted in 289 deals in the spot market. That is a fairly significant chunk of annual consumption/production, much more than I had thought was going on. There are somebodies making that U available. I can't imagine an enterprise such as CCO or Areva selling at the recent price levels, that would be financial suicide. It has to be therefore someone who doesn't care - a state run/backed enterprise or two trying to chase the competion out of the game? In that case the model we were used to, the spot market being small and irrelevant has changed to become someone's tool. Guess it is best to stay long in companies that do not have a debt ghost in the closet and outlast the BASStards
both are conspiacy theories, but it makes U wonder
my opinion only - B2S2