Uranium Extends Traction

Uranium futures in the US rose to $76.5, gaining traction after trading in a narrow range around $71.5 since early July amid lower supply and bullish long-term bets on nuclear power. Canada’s Cameco, the second largest uranium miner in the world, cut its annual production guidance due to expansion delays in its McArthur mine in Saskatchewan. Additionally, top producer Kazatomprom stated it would cut its output by 10% next year, citing volatility in the spot mined uranium market. India announced its target for nuclear capacity for 2047 at 13 times the current level, in addition to loosening tight regulations on the sector for private companies to mine and process uranium. Additionally, datacenter company Equinix entered deals for nuclear power facilities in its global data centers, aligned with recent trends for the power-hungry infrastructure with Microsoft, Alphabet, and Meta having procured nuclear energy sources for future datacenters.