Uranium dipped in price this past week after hitting its highest level in 16 years. Is it about to get lithium-ed? Lithium, the lightest metal, multiplied more than five times in price in less than a year after CME Group launched a futures contract in 2021. Then it collapsed, and now it’s lower than it started.
Uranium, one of the heaviest metals, doubled in price since summer to a recent $106 per pound before dipping to just below $100. Two niche exchange-traded funds, Global X Uranium and Sprott Uranium Miners, together took in more than $1 billion in fresh investor cash over the past year, as assets under management swelled to a combined $5 billion.
Along the way, meme traders on Reddit took an interest. One typical post from last fall featured a photo of three posh young women in a convertible with the caption, “Get in losers, we’re cornering a market.” That one requires a working knowledge of the 2004 film Mean Girls, but the post’s title was less subtle: “Uranium to Uranus,” with a rocket ship emoji.
In fact, uranium was discovered in 1789, eight years after the planet for which it’s named. That’s right: If you enjoy tangential fun facts, strap in.
For the rest of this article: https://www.barrons.com/articles/uranium-prices-just-hit-a-16-year-high-now-consider-a-cautionary-tale-lithium-a255c2a9