Uranium: the primed bull
From under the yoke of the 2011 Fukushima disaster, nuclear energy has found a groundswell of international demand building at a time when international surpluses are dwindling. However, Australia’s complicated relationship with the heavy element has seen production rates at historical lows. Global production of uranium has fallen at a time when demand has increased due to heavy losses sustained by Canadian and Kazakh producers. With prices rising steadily since 2018 to an average of US$28.90 a pound in April, most of the increase took place in the second half of 2018, and remains well above the November 2016 low of US$18/lb. While the increase in price has taken some of the pressure off uranium suppliers who have been selling output…