Visitors Now:
Total Visits:
Total Stories:
Profile image
By ETF Daily News (Reporter)
Contributor profile | More stories
Story Views

Now:
Last Hour:
Last 24 Hours:
Total:

The Uranium ETF Is Surging Again As Kazakhstan Slashes Production

Wednesday, January 11, 2017 8:25
% of readers think this story is Fact. Add your two cents.

(Before It's News)

The only major uranium-focused ETF jumped for a second straight day today, as the world’s largest uranium producer vowed to cut production by 10% this year.

Kazakhstan said it would lower production of the energy-generating element due to weak price performance last year, which was caused by an excess of global inventory.

Spot uranium prices surged 10% on the news, closing most recently at $24.25 per pound. That marks the highest price level since September. This move to the upside might not just be a temporary blip, either. From Bloomberg:

The announcement from Kazakhstan, the world’s biggest producer, may mark an inflection point for the market, according to Cantor Fitzgerald LP. The cuts could lead to higher prices, according to Ux, a provider of research on the nuclear industry.

“We had given up on expecting Kazakhstan to exercise production restraint as its mines were the lowest cost operators in the world,” Rob Chang, head of metals and mining at Cantor Fitzgerald in Toronto, said in a note. “This news is a definite surprise and may be the inflection point for the uranium space to head higher across the board.”

The Global X Funds (NYSE:URA) was trading at $16.11 per share on Wednesday morning, up $0.51 (+3.27%). Year-to-date, URA has gained 25.17%, versus a 1.35% rise in the benchmark S&P 500 index during the same period.

URA currently has an ETF Daily News SMART Grade of A (Strong Buy), and is ranked #19 of 123 ETFs in the Commodity ETFs category.

You are viewing an abbreviated republication of ETF Daily News content. You can find full ETF Daily News articles on (www.etfdailynews.com)



Source: http://etfdailynews.com/2017/01/11/the-uranium-etf-is-surging-again-as-kazakhstan-slashes-production/

Report abuse

Comments

Your Comments
Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

Top Stories
Recent Stories

Register

Newsletter

Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.