Is This Dog About To Have its Day?

A full five years after the meltdown at the Fukushima-Daiichi nuclear facility very little has changed within the nuclear industry.

Nuclear power’s contribution to the global electricity mix remains steady at roughly 11% according to the IEA.

Globally, the nuclear fleet numbers 440 in size across 30 countries requiring around 170 million pounds of uranium. 66 reactors are under  construction and another 173 are planned[1].The existing fleet generates 382 GW of electricity. 

The uranium market is adequately supplied with current demand at 172 million pounds of U3O8and primary supply of 146.5 million pounds plus secondary supplies of 42.9 million pounds as of 2014. 

The current uranium spot price of around $28 per pound reflects an evolving dynamic consisting of excess supply, reactor underfeeding (excess enrichment capacity), and uncertainty around the Japanese reactor fleet where only three of the 54 reactors are back on line. 

Current prices are too low for producers to consider major capital investments with many believing that the incentive price is ~$65 per pound

….continue reading and viewing charts HERE

The two most important grain market announcements of March came in the last few days of the month.

In fact, we expect that they will stand as two of the two most important announcements of the year. First, China’s National Development and Reform Commission (NDRC) announced that they have adopted a revised support program for corn farmers. Three days later the USDA released their March Planting Intentions, a report based on their survey of tens of thousands of farmers.

….read more HERE

Oil and copper are at risk of steep declines as recent advances aren’t fully grounded in improved fundamentals.

Commodities including oil and copper are at risk of steep declines as recent advances aren’t fully grounded in improved fundamentals, according to Barclays Plc, which warned that prices may tumble as investors rush for the exits.

….continue reading HERE

Sent to subscribers on March 30, 2016, 12:21 PM.

On Tuesday, crude oil lost 2.06% ahead of the American Petroleum Institute’s weekly inventory report. Thanks to this drop, light crude closed another day under $39, but reached important support zone. Will it encourage oil bulls to act in the coming days?

Yesterday, crude oil extended losses after the market’s open as concerns over another increase in crude oil inventories to record highs affected negatively investors’ sentiment, which resulted in a drop to intraday low of $37.91. Despite this decline, the commodity erased some losses after Federal Reserve Chair Janet Yellen dampened expectations for an upcoming U.S. rate hike (if you would like to know more about real interest rates click here), which pushed the USD Index lower, making light crude more attractive for buyers holding other currencies. Will we see further improvement in the coming days? Let’s examine charts and find out what can we infer from them (charts courtesy of http://stockcharts.com).

….continue reading HERE with larger charts and more commentary

Summary