In the first of our 2015 commodity outlook series we take a look at uranium, which is at long last showing strong recovery signals

In the first of our 2015 commodity outlook series we take a look at uranium, which is at long last showing strong recovery signals. Recent years have been extremely difficult ones for uranium plays. Uranium prices plunged in the wake of the Fukushima nuclear disaster during 2011, leading to a proportionate decimation of uranium equities. The tide has however begun to turn, with uranium prices (both short-term and long-term) firming during late 2014, which in turn has led to an improvement in market and investor sentiment. After inching upward from recent depths of around $28/lb, the uranium spot price appears to have finally found a reasonably sound support level and has since recovered solidly to the $40/lb range. From a broader perspective the issue remains the same - the world has relatively few immediate alternatives in terms of substantial, reliable base-load power generation - so uranium remains a very important commodity.