Why Denison Mines, Energy Fuels, and Uranium Energy Plunged Today

What happened

Shares of uranium mining companies Denison Mines ( NYSEMKT:DNN ), Energy Fuels ( NYSEMKT:UUUU ), and Uranium Energy ( NYSEMKT:UEC ) all crashed in Tuesday trading, falling 7%, 8.6%, and a disheartening 11.9%, respectively, through 1:25 p.m. ET.

It’s not hard to figure out why. Image source: Getty Images. So what

I pointed out a couple of weeks ago that prices for nuclear fuel were repeatedly bumping up against a low ceiling, and failing repeatedly to reach the $60-a-pound uranium target that is seen as a goal for making uranium mining profitable enough to spur new production.That pattern continues through today.Since hitting its recent high of roughly $48 a pound on Nov. 15, uranium prices have twice more tried to break that barrier and resume their march toward $60 — and twice failed, according to data from TradingEconomics.com . Today, uranium prices sit at just $47.25 a pound, […]

Click here to view original web page at www.fool.com

About the author: StockMan

Please remember:

The information provided here is for general knowledge and educational purposes only.
It is not intended to be a substitute for professional financial advice.
Every individual's financial situation is unique, and what works for one person may not work for another.
Before making any investment or financial decisions, you should always consult with a qualified financial advisor who understands your specific circumstances and goals.

Any information posted on the website has been prepared without taking into account your objectives, financial situation or needs and as such, should never be acted upon. Please be aware that any information posted on this site should not be considered to be financial advice and i am not a financial advisor.