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Russia Suspends Uranium Exports to US: Market Impact on Nuclear Stocks
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Chris Temple Chris Temple of The National Investor shares his thoughts after Russia announced that it was going to start suspending shipments of enriched uranium to the U.S.

As I sent out over the weekend, Russia announced that it was going to start suspending shipments of enriched uranium to the U.S.

This really shouldn't be a surprise in one sense: many of us warned back in the spring (as you see below, via a John Quakes post) that the action back then by the U.S. government to announce we wouldn't buy any more starting in 2028 might evoke this response.

I'll be covering this and all things uranium in a special update on the sector/our uranium-focused companies shortly. At first blush, the timing quite possibly involves President Putin seeking some leverage in what will be blunt upcoming dealings with President Trump. Fair enough.

But things took a more ominous turn yesterday when President Biden decided, as he's on his way out the door, to relent and allow Ukraine to use long-range U.S. missile batteries after all against Russia. As I sent out last night, this has greatly heightened the odds that what has seemed to be a coming end to that war could now quickly go the other way to something far more ominous. And it seems as if some markets are paying some attention.

We never want to make sudden, wholesale moves only to get whipsawed if an apparent trend doesn't materialize. Nonetheless, I do feel it best to advise some tweaking of our overall portfolio mix:

First, just SELL DUST. It was a good idea if nature was going to continue taking its course on interest rates and the dollar and take gold down to at least the first of those target areas I discussed.

But there are more reasons now why gold will be supported, I think, than not given this new dynamic, and gold has popped a bit overnight despite Treasury yields creeping back toward the 4.5% area once more. Make sure you top up allocations to UNG and BOIL as follows:

Growth accounts — 3% UNG, 2% BOIL

Conservative accounts —  3% UNG

Lastly, all our uranium-focused ETFs are a Buy, as are Uranium Energy Corp. (UEC:NYSE AMERICAN) and Energy Fuels Inc. (EFR:TSX; UUUU:NYSE.American): This is as the uranium price popped $4/pound on the Russia embargo news last Friday (see THIS REUTERS STORY for some of the details.)

Thus far, the broad stock market (what else is new?) seems oblivious to all of this, though that might change with little notice. So, stay tuned as we might get either more defensive-weighted still . . . load up more on certain things such as above . . . or both.


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Important Disclosures:

  1. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of Uranium Energy Corp.
  2. Chris Temple: I determined which companies would be included in this article based on my research and understanding of the sector.
  3. Statements and opinions expressed are the opinions of the author and not of Streetwise Reports, Street Smart, or their officers. The author is wholly responsible for the accuracy of the statements. Streetwise Reports was not paid by the author to publish or syndicate this article. Streetwise Reports requires contributing authors to disclose any shareholdings in, or economic relationships with, companies that they write about. Any disclosures from the author can be found below. Streetwise Reports relies upon the authors to accurately provide this information and Streetwise Reports has no means of verifying its accuracy. 
  4.  This article does not constitute investment advice and is not a solicitation for any investment. Streetwise Reports does not render general or specific investment advice and the information on Streetwise Reports should not be considered a recommendation to buy or sell any security. Each reader is encouraged to consult with his or her personal financial adviser and perform their own comprehensive investment research. By opening this page, each reader accepts and agrees to Streetwise Reports' terms of use and full legal disclaimer. Streetwise Reports does not endorse or recommend the business, products, services or securities of any company. 

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Chris Temple Disclosures: 

The National Investor is published and is e-mailed to subscribers from [email protected]. The Editor/Publisher, Christopher L. Temple may be personally addressed at this address, or at our physical address, which is: National Investor Publishing, P.O. Box 1257, Saint Augustine, FL 32085. The Internet web site can be accessed at https://nationalinvestor.com/. Subscription Rates: $275 for 1 year, $475 for two years for "full service" membership (twice-monthly newsletter, Special Reports and between-issues e-mail alerts and commentaries.) Trial Rate: $75 for a one-time, 3-month full-service trial. Current sample may be obtained upon request (for first-time inquirers ONLY.) The information contained herein is conscientiously compiled and is correct and accurate to the best of the Editor’s knowledge. Commentary, opinion, suggestions and recommendations are of a general nature that are collectively deemed to be of potential interest and value to readers/investors. Opinions that are expressed herein are subject to change without notice, though our best efforts will be made to convey such changed opinions to then-current paid subscribers. We take due care to properly represent and to transcribe accurately any quotes, attributions or comments of others. No opinions or recommendations can be guaranteed. The Editor may have positions in some securities discussed. Subscribers are encouraged to investigate any situation or recommendation further before investing. The Editor receives no undisclosed kickbacks, fees, commissions, gratuities, honoraria or other emoluments from any companies, brokers or vendors discussed herein in exchange for his recommendation of them.

All rights reserved. Copying or redistributing this proprietary information by any means without prior written permission is prohibited. No Offers being made to sell securities: within the above context, we, in part, make suggestions to readers/investors regarding markets, sectors, stocks and other financial investments. These are to be deemed informational in purpose. None of the content of this newsletter is to be considered as an offer to sell or a solicitation of an offer to buy any security. Readers/investors should be aware that the securities, investments and/or strategies mentioned herein, if any, contain varying degrees of risk for loss of principal. Investors are advised to seek the counsel of a competent financial adviser or other professional for utilizing these or any other investment strategies or purchasing or selling any securities mentioned.

Chris Temple is not registered with the United States Securities and Exchange Commission (the “SEC”): as a “broker-dealer” under the Exchange Act, as an “investment adviser” under the Investment Advisers Act of 1940, or in any other capacity. He is also not registered with any state securities commission or authority as a broker-dealer or investment advisor or in any other capacity.

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