Uranium prices boosted through May’s end

Uranium futures rose to $71.90 per pound on June 2, according to online analysis firm Trading Economics. That price was near its highest level since early February-in contrast to an 18-month low in prices reached in mid-March.

Among the factors influencing uranium prices is the indication of political support for the nuclear sector within the Trump administration, according to the analysis firm. That indication is currently outweighing the influence of abundant uranium supply.

Uranium provider Cameco calculated an end-of-May spot price for uranium of $71.55 (the highest it has been all year), with a long-term price of $80.00. The long-term price has remained unchanged since February.

Trump's support: The hope for political support is based largely on President Trump's signing in late May of an executive order to reform the Nuclear Regulatory Commission, cutting regulations and accelerating licenses for nuclear reactors and power plants. Trading Economics views this action as encouraging adoption of more nuclear power and boosting demand for uranium. As the Trump administration signals its support for the nuclear sector, tech companies may gain more confidence to use nuclear power to sustain data centers.

Tariff uncertainty: Trump's tariff policies are also affecting the uranium market, especially the uncertainty regarding future levies on uranium imports from Canada and Kazakhstan. Kazakhstan, from which the United States imports a large portion of its yellowcake uranium, apparently is facing reciprocal tariffs of 27 percent. Yellowcake imports from Canada face a 10 percent levy.