TrumpWe all know that Trump cannot be trusted period bit but at the end of the day he will not be able to control the price of uranium at all. To me Trump is just noise!! The U.S. has no production to speak of and low grades that need 40-50 a pound for production that will only supply a fraction of their needs. The two big guns Cameco and the Russians have had enough and want higher prices.
The Russians want to IPO very soon and so will want higher prices for the IPO and future stock price so dumping on the spot market will not be in their shareholders interest. Reactors are being built around the world and Japan plans to restart more. Funds like Yellowcake are starting up to get in on the action. Once the run is confirmed hedge funds will jump in with both feet as they did before. The boys on Wall Street are playing this now with positive articles one day and negative the next to flip and trade the stocks.
The CRA decision with Cameco is not a big concern to me and plan to make a bunch extra on the quick drop and recovery in stock price when and if there is one.
Remember 2007 when these stocks were all trading at about 17 dollars a pound for every pound they had proven in the ground even the ones not yet in production. So add on the lower cost of production and Cameco came out the clear winner back then. What has changed?? Cameco has more proven uranium then they did back then and super grades still. The price could easily go higher than the record of 136 per pound back then so what would be the price for proven reserves be in the ground? Higher than the previous 17?
Buy when others are fearfull and I see no reason not to grab all the Cameco I can get before this really gets going. N3