FX.co ★ Uranium Edges Higher from 18-Month Low

Uranium futures increased to $66 per pound, showing some strength after remaining near an eighteen-month low of $64 during March and April, as the market evaluated domestic mining capabilities amid the potential imposition of tariffs on crucial US suppliers. The sluggish and ambiguous trade discussions by the US government heightened the possibility that utilities and enrichers may be subject to duties on yellowcake and nuclear fuel, putting pressure on domestic operations. The US imports a significant share of its yellowcake from Kazakhstan, which is currently subject to a reciprocal tariff of 27%, whereas imports from Canada face a milder 10% duty. Simultaneously, the market reevaluated its speculative stance on nuclear power demand for US datacenters following the development of more efficient large language models in Europe and China. Reflecting this shift, Microsoft reportedly canceled plans for new datacenter leases, contrasting earlier predictions that tech companies were in a rush to secure additional power resources.