A small thread #uranium #resources
"Macro"-economic style investing is tough. As we roll into this week's FOMC meeting, it appears as though 0.25% (a mere fraction of the 8.6% headline inflation) will govern the next 100+ pt range in $SPX. Who really knows where
"Macro"-economic style investing is tough. As we roll into this week's FOMC meeting, it appears as though 0.25% (a mere fraction of the 8.6% headline inflation) will govern the next 100+ pt range in $SPX. Who really knows where
The overall markets go in the near (1-6 month) term? We have crypto melting down, an unfriendly Fed, bonds not providing the reliable risk-parity hedge that can be monetized and re-invested into equities. Oil is careening up, JGBs look tenuous, the yen is slowly walking to 150,
Inflation is surprising to the upside, a WAY bloated set of private marks whose updates will probably trigger a new wave of redemptions, etc. etc. Flip side, the Fed's favourite measures have started to look grim. $LQD, $CMBS, repo markets, and $SPX which has now entered a bear
Market. The Fed put is somewhere out there, all that can be said is many of the top-callers, bottom-pickers, and "not there yet-ers" will miss it.
Resource investing, however volatile, contains within it a luxury.
Resource investing, however volatile, contains within it a luxury.
Due to the factors above, the S&P may end up mired in a lost decade. #Uranium, however, must rise to meet the supply demand of coming decades. So when $URNM / $U.UN get whacked alongside the market, we at least don't necessarily fret about the many conditions that must
Align for our ideas to come to reality. Annoying, sure, that an industry impacted little by recession gets sold down in fear of a quarter point move. But insofar as the loose calculations I do to value my holdings - a lot of $PDN - we are reasonably priced for the current
Price of the metal. Absent a nuclear incident, the winds of change are blowing... As I wrote in a previous thread, as resource investors we possess the ability of markets to reprice a situation that demands it.
In times of strife, index, crypto, and dream-asset investors must question the valuation, and indeed, value, of what they own - because for them, price is narrative, and is path dependent...
So to the extent that you can wait, the question is more 'when,' and not 'if,' and therein is the luxury we are afforded...
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