As the dollar was gaining strength, pretty much everything in the market sold off this week, besides uranium and lithium.
Uranium closed the week above $50/lbs, as SPUT was buying pounds, and lithium closed the week at an all-time high, yet again.
Despite the strong move in the uranium spot price, the uranium equities closed the week largely down. This showed us that the uranium spot price moves on fundamentals, and the uranium equities move on broad-market sentiment.
Most of the moves are to be explained by the economic data presented in this video, as the majority suggest that the FED will go through at least one more jumbo rate hike (0.75%) this year.
- The top 3 best-performing commodities this week were:
- Lubmer : +10%
- Uranium: +4%
- Tin: +2.6%
- The top 3 worst-performing commodities this week were:
- US Eggs: -12.5%
- Silver: –9.3%
- Palladium: -8.8%
What’s this week’s show about?
- Cameco raised $650M through a bought deal, and bought nuclear power plant producer Westinghouse, in a joint venture (49-51) with Brookfield Renewable Energy partners. I spoke to Chapman from “Proven Reserves”, and he explained to me what this means for Cameco, and the sector.
- Uranium Energy Corp bought the Roughrider project from Rio Tinto for $80M in cash, and $70M in stock. Rio Tinto originally bought the project in 2012, for $630M.
- NexGen decided to sponsor the Vancouver Cannucks – an NHL team – by placing its logo on their helmets.
- Greta Thunberg said that “closing down nuclear power plants in Germany could be a mistake”.
- Ukraine’s nuclear chief said that Zaporizhzhia doesn’t need Russian uranium, as it now buys nuclear fuel from the West, and it also has two years’ worth of nuclear fuel.
What to watch next week?
Next week is a rather calm week, from an economic news perspective. Most of the news will be coming out of China.
Antonio Atanasov is not an investment advisor. Antonio Atanasov might own shares of companies mentioned in this publication. Always assume him biased.
The information provided in this publication – and all other publications by Resource Talks – is impersonal in nature and meant for general information purposes only. If you’re not paying for the product, you are the product. Expect seeing advertisements – which will be verbally disclosed – in this video. Before taking any action on any investment, it is imperative that you consult with multiple licensed, experienced, and qualified investment advisors. Get numerous opinions before taking your own decision in the end. The minimum risk on any investment mentioned in this publication is 100% loss of capital.
Shortly: you will lose all of your money and possibly most of your brain cells if you listen to talking heads on the internet. Especially if they have orange hair and no experience (me).
Readers are cautioned that this presentation likely contains forward-looking statements about expected future events and the financial and operating performance of any companies potentially discussed herein. Reality often varies from people’s expectations. Managements like over-promising and under-delivering. If a manager was speaking in here, beware. Readers are encouraged to read the Cautionary Note on Forward-Looking Information and to consult the Company’s Annual Information Form, which is available on www.sedar.com. Reading the full disclaimer on the disclaimer page on this website is mandatory.
Was there something wrong with what the guests said? Did I fail to ask an important question? Did I make a mistake? Please tell me about it. Criticism and skepticism are highly welcome and help me learn. Thank you.