Best of the Week
Most Popular
1. Market Decline Will Lead To Pension Collapse, USD Devaluation, And NWO - Raymond_Matison
2.Uber’s Nightmare Has Just Started - Stephen_McBride
3.Stock Market Crash Black Swan Event Set Up Sept 12th? - Brad_Gudgeon
4.GDow Stock Market Trend Forecast Update - Nadeem_Walayat
5.Gold Significant Correction Has Started - Clive_Maund
6.British Pound GBP vs Brexit Chaos Timeline - Nadeem_Walayat
7.Cameco Crash, Uranium Sector Won’t Catch a break - Richard_Mills
8.Recession 2020 Forecast : The New Risks & New Profits Of A Grand Experiment - Dan_Amerman
9.Gold When Global Insanity Prevails - Michael Ballanger
10.UK General Election Forecast 2019 - Betting Market Odds - Nadeem_Walayat
Last 7 days
UK General Election 2019 BBC Exit Poll Forecast Accuracy Analysis - 12th Dec 19
Technical Analysis Update: Tadawul All Share Index (TASI) - Saudi Arabia ETF (KSA) - 12th Dec 19
Silver Miners Pinpoint the Precious Metals’ Outlook - 12th Dec 19
How Google Has Become the Worlds Biggest Travel Company - 12th Dec 19
UK Election Seats Forecasts - Tories 326, Labour 241, SNP 40, Lib Dems 17 - 12th Dec 19
UK General Election 2019 Final Seats Per Party Forecast - 12th Dec 19
What UK CPI, RPI INFLATION Forecasts for General Election Result 2019 - 11th Dec 19
Gold ETF Holdings Surge… But Do They Actually Hold Gold? - 11th Dec 19
Gold, Silver Reversals, Lower Prices and Our Precious Profits - 11th Dec 19
Opinion Pollsters, YouGov MRP General Election 2019 Result Seats Forecast - 11th Dec 19
UK General Election Tory and Labour Marginal Seats Analysis, Implied Forecast 2019 - 11th Dec 19
UK General Election 2019 - Tory Seats Forecast Based on GDP Growth - 11th Dec 19
YouGov's MRP Poll Final Tory Seats Forecast Revised Down From 359 to 338, Possibly Lower? - 10th Dec 19
What UK Economy (Average Earnings) Predicts for General Election Results 2019 - 10th Dec 19
Labour vs Tory Manifesto's UK General Election Parliamentary Seats Forecast 2019 - 10th Dec 19
Lumber is about to rally and how to play it with this ETF - 10th Dec 19
Social Mood and Leaders Impact on General Election Forecast 2019 - 9th Dec 19
Long-term Potential for Gold Remains Strong! - 9th Dec 19
Stock and Financial Markets Review - 9th Dec 19
Labour / Tory Manifesto's Impact on UK General Election Seats Forecast 2019 - 9th Dec 19
Tory Seats Forecast 2019 General Election Based on UK House Prices Momentum Analysis - 9th Dec 19
Top Tory Marginal Seats at Risk of Loss to Labour and Lib Dems - Election 2019 - 9th Dec 19
UK House Prices Momentum Tory Seats Forecast General Election 2019 - 8th Dec 19
Why Labour is Set to Lose Sheffield Seats at General Election 2019 - 8th Dec 19
Gold and Silver Opportunity Here Is As Good As It Gets - 8th Dec 19
High Yield Bond and Transports Signal Gold Buy Signal - 8th Dec 19
Gold & Silver Stocks Belie CoT Caution - 8th Dec 19
Will Labour Government Spending Bankrupt Britain? UK Debt and Deficits - 7th Dec 19
Lib Dem Fake Tory Election Leaflets - Sheffield Hallam General Election 2019 - 7th Dec 19
You Should Be Buying Gold Stocks Now - 6th Dec 19
The End of Apple Has Begun - 6th Dec 19
How Much Crude Oil Do You Unknowingly Eat? - 6th Dec 19
Labour vs Tory Manifesto Voter Bribes Impact on UK General Election Forecast - 6th Dec 19
Gold Price Forecast – Has the Recovery Finished? - 6th Dec 19
Precious Metals Ratio Charts - 6th Dec 19
Climate Emergency vs Labour Tree Felling Councils Reality - Sheffield General Election 2019 - 6th Dec 19
What Fake UK Unemployment Statistics Predict for General Election Result 2019 - 6th Dec 19
What UK CPI, RPI and REAL INFLATION Predict for General Election Result 2019 - 5th Dec 19
Supply Crunch Coming as Silver Miners Scale Back - 5th Dec 19
Gold Will Not Surpass Its 1980 Peak - 5th Dec 19
UK House Prices Most Accurate Predictor of UK General Elections - 2019 - 5th Dec 19
7 Year Cycles Can Be Powerful And Gold Just Started One - 5th Dec 19
Lib Dems Winning Election Leaflets War Against Labour - Sheffield Hallam 2019 - 5th Dec 19
Do you like to venture out? Test yourself and see what we propose for you - 5th Dec 19
Great Ways To Make Money Over Time - 5th Dec 19
Calculating Your Personal Cost If Stock, Bond and House Prices Return To Average - 4th Dec 19

Market Oracle FREE Newsletter

UK General Election Forecast 2019

Uranium: Have We Finally Reached a Tipping Point?

Commodities / Uranium Jan 05, 2013 - 08:35 AM GMT

By: Investment_U

Commodities

Mike Kapsch writes: Haven’t considered investing in uranium lately?

Can’t say I blame you.

Over the past two years, it’s been ugly.


•Uranium spot prices are down 41% since January 2011.
•The three largest publicly-traded uranium producers – France’s Areva SA (OTC: ARVCF), Cameco Corp. (NYSE: CCJ) and Energy Resources of Australia – have declined 64%, 48% and 90% respectively.
•The Global X Uranium ETF (NYSE: URA), which tracks the price movements of companies active in uranium mining, is down 65%.

Of course, the tipping point for nuclear energy’s decline wasJapan’sFukushimadisaster. This was about as bad as a nuclear accident gets.

But, as it often does, time can change everything.

Politics, Politics
On Sunday, December 9, Japan elected Liberal Democratic Party (LDP) leader Shinzo Abe to be prime minister.

In addition to “getting the Bank of Japan to pump liquidity into its economy,” as Investment U Senior Analyst Carl Delfeld pointed out a couple of weeks ago, he’s also mulling over Japan’s energy options.

And just 20 months after the previous administration vowed to abandon nuclear energy altogether, Mr. Abe wants to get back on track.

The National Journal reports that Abe’s been a critic of Democratic Party leader Yoshihiko Noda’s goals to cut nuclear power from Japan’s energy mix, citing them as both “irresponsible” and “unrealistic.” What’s more, Abe’s party (the LDP) is also known for its pro-nuclear energy stance.

Since the election was called just a few weeks ago, the Global X Uranium ETF is up about 10%. Uranium prices have ticked up 9%.

That’s a nice jump in such a short period of time. But this could be just the start for the sector over the next several months. As we reported last May, it was only a matter of time before Japan renewed interest in nuclear energy. As Rick Rule told us, it’s all about national security.

Beyond the Headlines
Then there’re the supply issues I wrote about in September. Namely, a treaty between Russia and the U.S. during the Cold War is going offline starting in 2014, and will cut 24 million pounds of supply out of the market. That’s about 16% of total annual uranium usage.

Producers don’t want to continue producing uranium with prices this low today, either. So, they’re cutting back on production.

All the while, demand continues to steadily rise.

Despite headlines about countries backing away from nuclear energy, David Tolbert recently told The Energy Report, “There are more reactors planned or under construction today than before the Fukushima Daiichi disaster…”

China has 77. India has 25. Russia has 24. The list goes on and on.

Two years ago,Japan was the tipping point for the falling out in uranium. Today, it’s the tipping point again. But this time in the opposite direction.

Bottom line: Nuclear energy isn’t going anywhere. In fact, demand for it is only rising around the globe. And stocks involved in the space look ready to climb out of the depths in 2013.

You can take advantage of this by looking at companies we’ve profiled in the past, such as Cameco, or diverse ETFs like Global X Uranium. But mainly, don’t get caught missing this boat altogether. It’s getting ready to set sail.

Good Investing,

Mike

Source : http://www.investmentu.com/2013/January/greatest-risk-to-your-wealth-in-2013-2.html

by , Investment U Research

http://www.investmentu.com

Copyright © 1999 - 2013 by The Oxford Club, L.L.C All Rights Reserved. Protected by copyright laws of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including on the world wide web), of content from this website, in whole or in part, is strictly prohibited without the express written permission of Investment U, Attn: Member Services , 105 West Monument Street, Baltimore, MD 21201 Email: CustomerService@InvestmentU.com

Disclaimer: Investment U Disclaimer: Nothing published by Investment U should be considered personalized investment advice. Although our employees may answer your general customer service questions, they are not licensed under securities laws to address your particular investment situation. No communication by our employees to you should be deemed as personalized investment advice. We expressly forbid our writers from having a financial interest in any security recommended to our readers. All of our employees and agents must wait 24 hours after on-line publication or 72 hours after the mailing of printed-only publication prior to following an initial recommendation. Any investments recommended by Investment U should be made only after consulting with your investment advisor and only after reviewing the prospectus or financial statements of the company.

Investment U Archive

© 2005-2019 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.


Post Comment

Only logged in users are allowed to post comments. Register/ Log in

6 Critical Money Making Rules