Wednesday, February 21, 2007
Uranium spot price hits $85
UPDATE same day:
UxC is now showing the $85 spot price here.
This is a huge jump and it's no doubt due to the nature of auctions when people are nervous. People let their emotions run wild. I wouldn't have been surprised if the auction price was even higher.
Also in other news, nuclear power plants are running at a very high production rate.
Electricity production at nuclear power plants has increased 36 percent since 1990....All that does is burn up more uranium and make the supply/demand imbalance even worse.
Here's another blogger's view.
My own sense is that uranium investing is starting to get a bit frothy. It has a long way to go. It wouldn't surprise me to see Strathmore Minerals as high as $25 per share. I intend to sell it before that.
UPDATE Feb 22, 2007:
Here's a press release on the subject from U308.biz.