RE:Fake Spot Price continues to influence.Welcome to the Uranium business Destinator. The spot price means nothing...very low numbers of pounds change hands there. But investors THINK it means something. Most Uranium is bought under long contracts. At best the spot market represents <5% of the market although it has been edging higher than that in recent years. So where you have a market that can be easily manipulated with a few million dollas then people will do that. You have to ask yourself what a spot price of $21.50 has to do with NXE or FCU or any of the other juniors in 2020 0r 2025? The answer is nothing. It is irrelevant.. None of these companies makes any money. They have no earnings, no dividends and no assets.In fact they are companies in name only. What you invest in is their potential to earn in future years. That is why this can only be a long term game.
In the case of both NXE and FCU there are two trends that are headed towards intersection.
The first is they have a large amount of Uranium that can be mined without too much difficulty and at prices well below the current (already low) spot market price. In other words their future assets - once mines are built - will create lots of value. The second is the coming shortages of Uranium. The shortage will be caused by all of the factors already mentioned in previous posts. So when shortgaes meet a billion pounds of mineable Uranium at $8/lb THAT is when the true value of both companies will shine through.
Until then my friend the spot market will do its thing and the share prices will do their thing until the industry realizes that there is not enough material to operate the plants they have built and thyen...as before...the price will go ballistic.
Until then all you need is great patience and nerves of steel. The result will be a spectacular pay day.
I rarely look at the spot market. Far too opaque for me and very open to manipulation. Not a reliable measure in my honest opinion.
Don't think you're sarsactic....just telling it like it is.
MAlcolm
Malcolm