Why Uranium Stocks Jumped Wednesday
Uranium stocks are back in action after taking a breather last month, with stocks across the board surging in the past two days. Here's how much some of the notable uranium stocks had gained on Wednesday by market close:
Uranium stocks were on fire until about a month ago when uranium prices reversed course after a torrid run up, driven by aggressive spot uranium purchases by Sprott Physical Uranium Trust (OTC: SRUU.F) since the exchange-traded fund's inception mid-July. After an update about uranium purchases on Sept. 17, Sprott went silent, triggering fears among investors about a potential crack in uranium prices.
Sprott's dry spell ended in October, with the fund announcing it had purchased 400,000 pounds of uranium on Oct. 5 and another 300,000 pounds on Oct. 8, amassing a total of 31 million pounds of uranium as of this writing, compared with only 18.3 million pounds on July 31.
Source Fool.com
