January 31, 2011
The spot price for uranium rose again in January for the eighth consecutive month. Thin spot supplies continue to exert upward pressure on the uranium spot price and TradeTech's Exchange Value is $72.25 per pound U3O8, an increase of $10.25 from the December 31 Value and an astounding $30.00 from the same period last year. The market was especially active for January with 27 transactions reported for the month.
The shift from a buyers' market to a sellers' market that began last year gained new momentum in January. A driving force behind this increase is the ambitious nuclear program in China, along with reports in recent months from several producers that they will not meet production targets. The most recent announcement reinforced this view as Energy Resources of Australia Ltd. reported on January 28, plans to shut down its Ranger facility in Australia for three months due to excessive rainfall. Sellers with inventory remain convinced of further price increases and are extremely reluctant to release material into the market. Buyers have limited opportunities to purchase with more and more sellers withholding material from the market in expectation of higher prices
http://www.uranium.info/index.cfm?go=c.page&id=103
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