It’s funny, because during this temporary decreasing uranium prices with a couple % after a 70% rise of the price in 5 weeks time, short term investors without DD on the matter think that the uranium price rise is over :)
1. But in fact each end of the month (Monday, September, 27, 2021) Nuclear fuel price reporter UxC set Month-end Uranium Spot Price used by market-referenced contracts to set invoice price on deliveries. To reduce costs, traders often try to walk-down Spot price in a "month-end smash". 2. SPUT has still ~850 million USD of their ATM to buy additional uranium, while the high season in the uranium sector has yet to begin (October -March) 3. Those temporary spotprice decreases tend to push the NAV of SPUT under the share price of SPUT ==> they only need a 1% premium over NAV to activate their ATM to buy additional U3O8 or UF6 in the spotmarket.
I suggest to take advantage of this temporary price decrease to buy uranium company shares
1. But in fact each end of the month (Monday, September, 27, 2021) Nuclear fuel price reporter UxC set Month-end Uranium Spot Price used by market-referenced contracts to set invoice price on deliveries. To reduce costs, traders often try to walk-down Spot price in a "month-end smash".
2. SPUT has still ~850 million USD of their ATM to buy additional uranium, while the high season in the uranium sector has yet to begin (October -March)
3. Those temporary spotprice decreases tend to push the NAV of SPUT under the share price of SPUT ==> they only need a 1% premium over NAV to activate their ATM to buy additional U3O8 or UF6 in the spotmarket.
I suggest to take advantage of this temporary price decrease to buy uranium company shares
$CCJ $URA $ELVUF $U-UN.TO SRUUF, URNM, GLO.TO, FCU.TO, DNN, UUUU, ...