Hedge funds betting big on uranium as spot price surges to 16-year highs

© Reuters. Hedge funds betting big on uranium as spot price surges to 16-year highs Hedge funds are stockpiling barrels of raw uranium after its price reached a 16-year peak, the Australian Financial Review reported.

As many as 50 funds, including Anchorage Capital Group, are reportedly storing uranium, betting on further price spikes.

The New York-based Anchorage Capital began accumulating the yellowcake after divesting MGM Studios to Amazon (NASDAQ: AMZN ).

Other significant accumulators include Yellow Cake PLC and Sprott Physical Uranium Trust, both managing billion-dollar portfolios.Uranium concentrate, or ‘yellowcake’, is being stockpiled at ConverDyn, a US processing company.Trend aligns with under-supply situation“What you’re seeing with these investor types is that they’re just buying and holding,” ConverDyn vice president for Business Development Nikko Collida said.“We’ve had some accounts that are accumulating more pounds than you would normally have seen in the past.“With nuclear, it’s always in a state where supply is reacting […]

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