• Lykeion
  • Posts
  • Uranium is Having a Moment

Uranium is Having a Moment

The price of uranium is surging - this piece explores the geopolitical and fundamental drivers of the move.

💡 A quick update: All of our Research, Member's Content, and Editorials (which constitute all of our behind-the-paywall content, which this piece is) are now being combined into Lykeion Plus. No other change, this is just to let all of our paid members know about the branding shift.

The fuel that powers the 440 active nuclear reactors across 32 countries today (~10% of the world's electricity and 25% of the world's low-carbon energy) has gone parabolic and is now up 120% over the last year.

As with all commodities (and most investments broadly speaking), price is determined as some function of: (Supply & Demand)^Speculation.

The supply-demand balance or imbalance makes up the ‘fundamentals’ of a commodity while speculation by investors and traders (a relatively recent phenomenon in the uranium markets, as we’ll see below), layers on the less predictable human element of price setting (bubbles and corrections can largely be attributed to this unpredictable variable).

In this piece we’ll parse out the fundamentals of the uranium market, its unique (and increasingly dangerous) supply characteristics, today's demand coupled with known and forecasted new demand coming online, what we believe the speculators are looking at that may be causing this outsized move, and whether this is a structural shift higher in prices or a temporary rolling bubble (which seems to be the norm in commodities these last few years).

Let’s dive in…

Subscribe to Lykeion + to read the rest.

Become a paying subscriber of Lykeion + to get access to this post and other subscriber-only content.

Already a paying subscriber? Sign In

A subscription gets you:
4-6 Monthly Deep Dive Editorials
Primers, Thematic Reports, Sector Analysis
All Free Tier Updates & Podcasts