Uranium outlook hot, hot, hot: Morgan Stanley
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There’s more than a little exuberance around the outlook for uranium equities in 2021.
Uranium bulls are convinced tightness in the market and the emergence of Sprott’s new yellowcake buying public trust will see prices for the nuclear fuel finally take off.
The folk at Morgan Stanley are bullish as well, so bullish it ranks alongside aluminium and met coal as its most attractive asset class.
While Morgan Stanley is cold on iron ore, the uranium outlook is hot, hot, hot.
Morgan Stanley🏦 places #Uranium at the very top of its “Metals & #Mining Commodity Thermometer”🌡️ as Most Bullish Thesis of 17 mined commodities they cover.🏆 “Further price upside near term… Longer term, demand growth continues to push price higher.”↗️⚛️⛏️💰 #Nuclear #ESG 🏄♂️ pic.twitter.com/slAp3RVuiR
— John Quakes (@quakes99) August 15, 2021
It’s worth noting the commodities are coming from very different places.
Iron ore touched all time highs of US$230/t in May before it reversed to around US$160/t on lower Chinese demand.
Producers and developers are bullish about both recovering demand and the belief nuclear energy will be part of global decarbonisation.