Friday, July 26, 2013

Uranium now trades at about $36.50 a pound

With Japan shuttering its nuclear reactors and Europe pulling away from the nuclear power, the world has more uranium than it needs. But that's not stopping some people from betting on the radioactive element in the longer term.
"The industry in general is working through an oversupply situation due largely to the idling of reactors in Japan after the incident at the Fukushima plant," said Jeffrey Donald, a spokesperson for USEC, which supplies uranium to commercial nuclear plants in the U.S. and internationally.

The crisis in Japan also pushed Germany to hasten its move away from nuclear energy. Uranium now trades at about $36.50 a pound, the lowest level since January 2006. It has fallen more than 30 percent since the Fukushima disaster in March 2011.