A tiny corner of the commodities market is going nuclear this year. Uranium prices – and therefore uranium stocks and uranium exchange-traded funds (ETFs) – have reached critical mass.
Commodities in general have enjoyed stellar gains so far this year, thanks to the sharp economic snap-back and related burst of fast-rising prices. Indeed, shares in commodity stocks dealing in steel, aluminum, copper and a host of other hard assets tend to outperform when inflation runs hot.
Uranium, however, has been in a class of its own. Prices are up 38% year-to-date, to $42.40 per pound. That’s an increase of nearly 140% since bottoming out below $18 per pound in late 2016.
Most of the price appreciation over the past five years has been driven by a rejuvenated global search for alternative energy sources. Over the past few months, however, a new source of support emerged. The newly launched Sprott Physical Uranium Trust […]
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