Viewpoint: Bullish
Global X Uranium ETF is an ETF that seeks to track the performance of the Solactive Global Uranium & Nuclear Components Total Return Index. The Fund offers exposure to a broad range of companies involved in uranium mining and the production of nuclear components, including those in extraction, refining, exploration, or equipment manufacturing for the uranium and nuclear industries.
The ETF is listed oin the US under code URA US
Peninsula Energy (PEN) is a uranium development company. The Company has exploring activities in Wyoming, Karoo South Africa, as well as Western Australia.
Paladin Energy (PDN) operates as a mining company. The Company explores and mines uranium. Paladin Energy serves customers worldwide.
Strandline, which is looking to develop the Coburn Mineral Sands Project in WA, today announced a $US60m bond issue for the project. The bond, along with the $150m committed through the Norther Australia Infrastructure Facility (NAIF) means the project now has more than 80% of the capital requirements committed.
Portfolio holding Metcash (MTS) held an investor day yesterday and also delivered a trading update and moved their dividend payout guidance up from 60% to 70%. MTS trade on an Est P/E of 13x and they are forecast to yield 4.57% fully franked over the coming 12 months.
The stock, along with peers, has been under pressure since the end of January as the market grapples with what the next 12 months hold given the ecommerce names will cycle record COVID assisted growth numbers.
Resolute Mining (RSG) is a producing miner with 395koz throughput in 2020 with an cost (AISC) of $1,074/oz – a pretty handy margin to the current spot price. Shares have more than halved since the middle of last year.
US stocks remain in a holding pattern ahead of the Fed but considering they’re within 1% of their all-time highs after rallying over 80% from last March’s low it’s impossible not to acknowledge the bullish undertone remaining in risk assets however Jerome Powell et al could change that
We’ve spoken at length about Gold recently and we feel it’s ‘now or never’ for the precious metal. We have no Gold Exposure in this portfolio and are using recent weakness to buy global gold goliath Barrick Gold which trades under the ticker of GOLD US.
Conversely silver is looking very constructive and potentially poised for a ~20% rally, we might see a flight to more defensive assets and away from the likes of Bitcoin and to a lesser degree equities.
