March 14, 2017

#Uranium & uranium co's - volume exploding $URA

attached the chart (2) of URA, Global

X Uranium ETF. URA provides investors

access to a broad range of uranium mining

companies (Cameco is weighted 20%). Just

look at the volume of URA since the beginning

of the year. It exploded. This means strong

accumulation.

 

Attachment 3 shows the uranium price over

the last 5 years. After declining to US$ 18 per

pound early December 2016, the price recovered

to US$ 25.50 as per March 6, 2017. The reason

is the planned annual uranium production cut of 10%

by Kazatomprom. This amount translates into

roughly 3% of 2015 global production. Kazakhstan

is globally the largest supplier or uranium (39%)

followed by Canada (22%) (attachment 4).

 

At the current market price almost no new uranium

project is economic. Generally speaking, a uranium

price of US$ 70 is needed in order to bring a new

uranium mine in production.

 

 

Attached is the Quarterly Commodity

Outlook by Cantor Fitzgerald. Page

1 to 9 is a comment on uranium. Page

5 explains Japanese uranium inventories.

Page 27 to 53 has comments on uranium

companies.

 

March 13, 2017

March 1, 2017

#Gold #ETF - The big buyers are in Germany $XETRA


Unlike a year ago when the big ETF buyers were in the U.S., this time it's the Germans. They are buying XETRA-Gold, the exchange-traded fund backed by bullion. Investors poured almost US$ 906MM into this ETF this month, the biggest inflow since inception in 2007. As of February 13, holdings were estimated at 157.9 metric tons (attachment 1).

The motivations of the buying are political. The uncertainty about BREXIT, U.S. politics, and elections in Holland (March) and France (1st round April, second round May).

The latest buying spree by them was done between US$ 1,220 per ounce and US$ 1,250 per ounce. Attachment 2 shows the sharp and long decline of gold from 2012 with a low in January 2016 round US$ 1,040 per ounce. After that a rally occurred till July 2016 to around US 1,370 and subsequently gold fell back to around US$ 1,125 per ounce. The current rally is still considered to be against the major trend, which is down. A breakout over US$ 1,350 per ounce would signal the end of the bear market. Gold is not out of the woods yet.