CAPITAL MARKETS

Gold dips, yellowcake on the rise again

Sprott's U3O8 holdings have doubled

Staff reporter

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It was worth about US$1,855 an ounce on the spot market at the time of writing.

Meanwhile the uranium spot price has edged higher, up 1.6% and back towards nine-year highs at $48.25 a pound.

It had risen above $50/lb in September, for the first time since 2012, as investors increased physical yellowcake holdings, supply constraints continued and the belief decarbonisation will provide a new lease on life for the long-stagnant nuclear power sector.

The Sprott Physical Uranium Trust has more than doubled its U3O8 holdings from 18.1 million pounds in July to about 39.3Mlb this week.

However its shares (TSX: U.U) closed down 2% yesterday.

Mining majors showed mixed moves.

Gold Fields closed up 5.72% in Johannesburg, Freeport-McMoRan lost 3.08% in New York and Glencore was up 0.43% in London.

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