By Greg Peel

The week before last saw industry consultant TradeTech's spot price indicator for uranium fall to US$48.85/lb in a thin market, with sellers pushing to find buying interest in the new world of post-Fukushima industry uncertainty. However at the end of that week a buyer did emerge looking for offers.

The 250,000lbs of U3O8 equivalent sought was quickly followed by another 150,000lbs, and by the close of August last week the spot uranium price had recovered to US$49.25/lb. That's US$2.75 down from TradeTech's July close.

The buying interest nevertheless had the sellers backing off this time, forcing prices higher by week's end as 880,000lbs changed hands in five transactions. Hence as at Friday TradeTech's indicator had reached US$50.50/lb, up US$1.65 week on week.

Can we conclude, once again, that there is a floor in the spot uranium price at US$50? Well, it's still hard to tell given the thin market and ongoing uncertainty. August saw a total of 3.5m pounds change hands in 23 transactions compared to 3.4mlbs in 28 transactions in July, TradeTech notes. Market participants include utilities, producers, traders and hedge funds on the buy-side and producers, traders and hedge funds on the sell-side.

No transactions occurred in the term market in August albeit some fresh interest did emerge last week. TradeTech's term price indicators remain at US$56/lb (mid) and US$65/lb (long).

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