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.
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