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About Uranium Stocks
Uranium Stocks was created to give investors a diversified look at uranium shares, spot prices, options markets, ore and production, canadian reverses and any other relevant issues that may affect shares prices across the globe.
Spot Price Examination Part 1
Posted by
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Below is an October 20th, 2008 snapshot of NYMEX futures action on U308.
Extra Info:
Ticker Symbol: UX
Contract Size: 250 pounds
Minimum Price Fluctuation: $0.05
Read: Press Release FAQ on Uranium U308
One look at the lack of activity in the image above or at past volume (for April 2007) as shown in the chart below (notice how many months are under even 50 contracts).
In the following example for April 2007 contracts only 540250 pounds were purchased (contract lot sizes of 250). Using a current day pricing model of $75 (spot price rounded up estimate) this only represents $40 million worth of uranium contracts changing hands on the open market. Of course the spot price was higher at this point but we just want to get a quick gauge at the overall dollar volume trading hands in the futures market.
In part two we will take a look at the sales volume of uranium u308 through private contracts.