Welcome to Nuclear Update Premium September 20, 2025

The Fed cut rates, but Powell wasn’t handing out party hats. Liquidity is flowing again, yet the caution in his tone reminded markets this isn’t a risk-free rally. Bonds and credit are cheering, cash is trash, and quarter-end positioning could pour even more fuel on the move.

On the uranium side, pressure is building from every angle. Big trading houses are moving in, producers keep slipping, and Russia just unveiled plans for 38 new reactors. Add in extended sanctions on enriched uranium and utilities are running out of places to hide.

This is what we got for you this week:

• 📊Macro: Powell’s Balancing Act

• ☢️Uranium: Pressure Building From All Sides

• 📈Portfolio Moves

• 📢Lucijan’s Corner

• 📬Insider Transaction Action

• 🗞️ This Week in Nuclear News

• 🎙️Interviews Worth Your Weekend

Let’s dive in!

📊 Macro: Powell’s Balancing Act

This was Powell’s week, and the market knew it. Futures had already baked in a September cut, bonds were perking up, and equities were grinding higher into the decision.

The question wasn’t whether the Fed would cut, it was whether Powell would hand investors a reason to take on more risk. He did cut, but his tone was measured, a reminder that liquidity is back, but the Fed isn’t calling victory.

Pre-Fed: Optimism Already in the Price
Going into the meeting, the market was leaning risk-on. Yields had slipped, bond ETFs were in rally mode, and cyclicals were quietly leading. Traders were even whispering about a possible 50 bp cut.

Skepticism in surveys left room for buyers on the sidelines, but the setup was clear: the crowd expected Powell to give them cover to stay long.

Powell: Cut With Caution
The Fed delivered the cut, but Powell made sure nobody mistook it for an all-clear. He highlighted softer labor data and admitted inflation progress was uneven, yet he didn’t signal panic either.

Instead, he walked a middle line, easing policy to keep growth supported, while reminding markets that inflation risk is still alive.

That’s the balancing act: give investors liquidity without sparking the kind of euphoria that could reignite price pressures. The message was simple, the Fed is here to help, but it isn’t about to let markets run wild.

That was enough for investors. Liquidity is improving, policy support is back, and the Fed isn’t fighting the rally. It wasn’t a green light for euphoria, but it was confirmation that risk assets still have the wind at their back.

The action after the press conference reinforced the point. The S&P 500 closed near the highs, powered by strong buying in the final hour. That kind of late-session strength usually reflects institutional flows, not retail chasing.

Sector breadth broadened too: housing, consumer names, and tech outperformed, while defensives trailed. That’s the reflation script, capital moving where it expects growth, not where it hides.

Credit and Cash: Appetite Shifts
High-yield spreads stayed tight, and the iBoxx High Yield Index kept pushing to new highs. Equities almost never top when junk credit looks this strong, (since it signals investors are still comfortable taking risk.)

Thin volumes and some defensive inflows remind us hedging hasn’t gone away, but credit appetite right now supports the rally.

At the same time, cash is losing its edge. For two years, cash paid 5% and looked like a legitimate asset class. With the Fed now cutting, that safety net is fading. If yields keep dropping, cash quickly turns from an alternative to an opportunity cost.

That’s why the old line “cash is trash” is back in play. We’re entering a phase where sitting on the sidelines could be the riskiest position, because liquidity is pushing everything else higher.

Quarter-End Positioning and Global Flows
With September winding down, quarter-end dynamics start to matter. Portfolio managers who’ve been cautious all summer are under pressure not to miss a strong Q4 kickoff. Nobody wants to send their quarterly report to clients showing a pile of cash while the S&P 500 breaks higher.

That creates what’s often called a “forced buyer” effect, even reluctant managers have to put money to work so they don’t lag their benchmarks. The result is extra buying pressure into strength, which can exaggerate rallies as new money chases performance.

Globally, we’re seeing the same liquidity push. Take the Hang Seng Index, Hong Kong’s benchmark stock market and a bellwether for Chinese and Asian growth sentiment. After a brutal two years of drawdowns, it has surged more than 20% off its lows this year, technically putting it in a new bull market.

That rebound hasn’t solved all of China’s structural issues, but it does show how fast policy-driven liquidity can change sentiment. The U.S. may still be the driver, but the Hang Seng’s bounce underscores that global capital isn’t hiding in cash, it’s moving wherever stimulus and reflation show up.

The Investor Playbook
Short-term, liquidity and credit strength argue for more upside. Growth sectors, housing, and uranium equities are positioned to benefit as cash loses appeal.

Medium-term, caution lingers. Labor data is still soft, volumes are thin, and Powell reminded us the Fed isn’t celebrating. That leaves room for volatility in the next 3–6 months, even as flows keep chasing.

Long-term, the direction is clear. Liquidity waves don’t stop at one Fed cut, and capital won’t stay in cash if yields are sliding. The cycle favors risk assets, even if corrections show up along the way.

Our stance: treat cash as expensive insurance. Participate in the upside, use strength to rotate into conviction names, and keep some dry powder for volatility. The Fed has made holding cash less attractive, and markets are already adjusting.

☢️ Uranium: Pressure Building From All Sides

The uranium market didn’t take a breather this week. SPUT stacked another 950,000 lbs of U3O8, pulling pounds off the market that utilities would much rather see available. And they’re not done yet. They still have about $120 million in cash, plenty of dry powder left to keep soaking up supply.

Backed by Powell’s rate cut and a flurry of bullish headlines across the sector, SPUT’s steady bid tightened the market and uranium equities ripped higher. Our Premium Portfolio finished the week up 16% and is now up 95% since inception, a reminder of how quickly sentiment can turn when both financial players and policymakers are adding fuel to the fire.

Traders Are Circling the Market
For years, uranium was too small and too quirky for the big trading houses. That’s changing. Mercuria has announced it’s launching a uranium trading desk, with Natixis and Citibank expected to follow. Until now, only Goldman Sachs and Macquarie really played in this space, and they were niche.

This matters because traders bring liquidity, speculation, and price discovery. In oil, copper, and gas, trading houses amplify cycles by pushing money in when supply is tight and pulling it out when sentiment sours. Uranium’s ~30M lb spot market has always been thin, dominated by a handful of utilities and producers. With traders piling in, we’re moving toward a market where financial players set the tone as much as miners and plants do. That makes volatility sharper, but it also forces utilities to compete with deeper pockets.

There’s a second-order effect too. As the sector’s market cap expands, Sprott’s John Campagna has flagged this before, whole categories of institutions, especially pension funds, suddenly get unlocked.

Many funds have strict rules against investing in low-cap sectors, which is why uranium was off their radar for years. The more capital flows in and scales these companies up, the more doors open for institutional money. That creates a flywheel: traders step in, valuations rise, and eventually long-term funds that once couldn’t touch uranium are allowed to pile in.

Producers Keep Slipping
As earlier reported, Cameco has admitted its MacArthur River restart is running into labor shortages, leaving it short by 3–4M lbs in 2025. Kazatomprom has effectively pulled 2026 guidance and hinted it could run 10–20% below earlier expectations, citing both sulfuric acid constraints and utilities dragging their feet on contracting. Together, those two account for 60% of global mine supply.

Add in Orano’s Niger assets, exposed to political risk and export restrictions, and the list of headaches grows. Even Paladin has been disrupted by weather in Namibia, while Boss Energy is facing cost overruns at Honeymoon. The message is simple: producing uranium isn’t easy, and the global system doesn’t have a buffer left. Every stumble tightens the screws.

Inventories and Utilities: The Clock Is Ticking
Utilities have spent the last decade living off the Fukushima overhang. Inventories were fat, contracts signed in the 2010s still had flexibility, and enrichment markets gave them optionality.

Those cushions are almost gone. U.S. utilities are down to just ~14 months of coverage, versus 2.5 years in Europe and over a decade in China. That vulnerability is why U.S. officials are pushing the idea of a strategic uranium reserve, essentially a government-backed stockpile to shield against supply shocks. Lucijan takes a deeper dive into what that really means for miners, developers, and the broader fuel cycle further down in this issue.

The International Atomic Energy Agency, usually reluctant to talk price, is warning that the industry must pour capital into new projects or face serious shortages by the 2030s. The Koreans, who launched a massive RFP months ago, still haven’t had it filled, a sign that utilities know they need pounds, but producers are holding out for higher terms.

Demand Momentum: Russia’s Big Bet
India wants to scale nuclear capacity 13-fold by 2047. China is still adding 10+ reactors a year. Japan continues restarts, and even the U.S. is bringing Palisades back to life. Big Tech is getting in too, with Microsoft’s deal to restart Three Mile Island making headlines.

But the biggest announcement came from Russia this week: plans to build 38 new reactors over the next two decades. Five are already under construction, with the full program aimed at lifting nuclear’s share of Russian power generation from just under 20% to around 25% by 2045. The buildout includes a mix of large VVER pressurized water reactors, smaller VVER-600s, and advanced designs like the BREST-OD-300 fast reactor.

In practical terms, it’s one of the most ambitious nuclear expansion plans anywhere in the world. If even a minority of those units come online, it locks in decades of uranium demand at a scale few other countries can match. For the uranium market, this is a structural demand driver that adds to the pressure already building from Asia and Big Tech.

Sanctions and Retaliation
The geopolitical squeeze also tightened this week. On September 17, President Putin signed a decree extending Russia’s counter-sanctions until the end of 2027. Among the products on the restricted list: uranium enriched in the isotope U-235.

That means the ban on exporting enriched uranium to “unfriendly” countries (U.S., EU, UK, Japan, South Korea, and others) is now locked in for another two years. For context, Russia controls roughly 40% of global enrichment capacity, and U.S. utilities in particular remain dependent on those flows despite years of diversification talk.

The extension doesn’t cut supply overnight, but it forces Western buyers to scramble for alternatives, pay higher costs, and accelerate contracting elsewhere.

More broadly, it underscores just how fragile the fuel cycle is: dozens of new reactors may be planned, but enrichment bottlenecks can still ripple back through conversion and mining, tightening the entire system.

The Investor Takeaway
What makes uranium different from copper or iron ore is the lack of elasticity. Prices have tripled since 2020, but supply hasn’t budged meaningfully.

Now producers are slipping, utilities are running out of rope, and traders are moving in. At the same time, demand is accelerating, from Russia’s 38-reactor plan to India’s expansion and Big Tech’s nuclear push. The term market already reflects this, spot is only lagging because utilities are stalling.

For investors, the setup is clear: the bull market is intact, leverage has shifted to producers, and the system is tighter than it has been in decades. Prices may grind rather than spike day-to-day, but the next utility scramble could set off a sharp move higher.

📊 Portfolio Moves

The Premium Portfolio is updated with fresh technical setups and the latest price action as of September 20th.

Almost all positions are flashing buy signals, underscoring how strong the current momentum is.

👉View the full portfolio here

📢 Lucijan’s Corner

U.S. Initiative to Enhance Strategic Uranium Reserve: Implications !

The United States Department of Energy has recently signaled its intent to expand the nation's strategic uranium reserve, a measure aimed at bolstering energy security and diminishing reliance on foreign suppliers. This development, while incremental, underscores a prudent approach to safeguarding the nuclear power sector amid evolving geopolitical realities. Let me examine the details of the announcement, assess its potential impacts, including forward-looking projections, and consider the broader transformations it may engender within the industry.

The Announcement: A Measured Response to Supply Vulnerabilities 

On September 15, 2025, U.S. Energy Secretary Chris Wright articulated the administration's interest in augmenting the strategic uranium reserve during remarks at the International Atomic Energy Agency's annual general conference in Vienna. At present, US domestic inventories average approximately 14 months of uranium supply, a figure that pales in comparison to the European Union's 2.5 years and China's 12 years, according to 2024 data from the International Atomic Energy Agency. Russia currently accounts for about 25% of the enriched uranium fueling America's 94 operational nuclear reactors, which contribute roughly 20% of the nation's electricity generation.

This initiative aligns with a 2024 legislative mandate to phase out Russian uranium imports by 2028, prompting efforts to fortify domestic supply chains through enhanced mining, enrichment, and stockpiling activities. The Department of Energy is actively pursuing these objectives, building upon prior actions such as a 2020 proposal for a $150 million reserve fund and 2022 procurement contracts with domestic producers like Energy Fuels and Uranium Energy. Furthermore, it complements the Trump administration's May 2025 executive order to revitalize the nuclear industrial base and expedite advanced reactor deployments, as well as investments from the Inflation Reduction Act allocating up to $500 million for high-assay low-enriched uranium (HALEU).

This policy reflects a bipartisan consensus on the importance of nuclear energy in achieving long-term energy independence and supporting global commitments to triple nuclear capacity by 2050.

Potential Impacts: Enhancing Stability with Cautious Optimism 

The expansion of the strategic uranium reserve is poised to mitigate risks associated with supply disruptions, thereby fostering greater confidence among investors and utilities. By reducing dependence on Russian sources, the U.S. can better insulate its energy infrastructure from geopolitical volatilities, potentially averting price spikes or shortages that could arise from international tensions.

Economically, the announcement has already elicited a positive market response, with shares of uranium producers such as Energy Fuels rising 9%, Uranium Energy increasing 6%, and Cameco advancing 7% in the immediate aftermath. This could translate into job creation in uranium-rich regions, including Wyoming, Utah, and Texas, while stimulating investments in domestic extraction and processing.

From an environmental and energy perspective, a more secure uranium supply supports the role of nuclear power as a reliable, low-carbon baseload source, complementing intermittent renewables amid rising electricity demands from electrification, data centers, and emerging technologies. However, it is essential to acknowledge ongoing concerns regarding nuclear waste management and proliferation risks, which warrant continued regulatory oversight.

Looking ahead, projections indicate a tightening uranium market that could amplify the reserve's strategic value. Global uranium demand is forecasted to increase by nearly 30% by 2030 and more than double by 2040, driven by expanding nuclear capacity. Current worldwide nuclear capacity stands at 398 gigawatts electric (GWe), with an additional 71 GWe under construction, projected to grow by 13% to approximately 450 GWe by 2030. On the supply side, global production is expected to rise modestly by 2.6% to 62.2 kilotons in 2025, following a 12.4% increase in 2024. Nonetheless, models suggest a 5% overall market undersupply through 2030, peaking at a 7% deficit in 2025, before balancing from 2026 onward, though new projects will be critical post-2030 to meet escalating needs. Uranium spot prices, recently at $76.90 per pound as of September 19, 2025, may face upward pressure in the near term due to these dynamics, potentially stabilizing around $50 in lower-demand scenarios but rising further if global nuclear expansion accelerates.

These projections assume steady policy implementation and technological advancements; deviations, such as delays in new reactor builds or shifts in international trade, could alter outcomes.

Transformations in the Industry: Fostering Resilience and Growth 

This reserve enhancement initiative is likely to catalyze several structural shifts within the nuclear sector:

• Supply Chain Fortification: By prioritizing domestic enrichment and reducing reliance on foreign sources like Russia and Kazakhstan, the U.S. can expand facilities such as the sole commercial enrichment plant in New Mexico. This may encourage public-private collaborations to produce HALEU, essential for advanced reactors.

• Opportunities for Domestic Producers: Firms like Energy Fuels and Uranium Energy stand to benefit from increased government contracts, potentially leading to mine reopenings and technological upgrades. This could revitalize a sector diminished by prior import competition. It is not only producers that could benefit from this, development companies could get a rerate on the value of their assets. I am talking here Western Uranium and Vanadium, Premier American Uranium, Myriad and some other names.

• Innovation and Regulatory Streamlining: Secured supplies may accelerate research into advanced reactors, fuel recycling, and alternative fuels like thorium. The aforementioned executive order aims to reduce bureaucratic hurdles, facilitating faster project approvals.

• Market Stabilization: A larger reserve could help moderate price volatility, signaling to investors the viability of nuclear energy and attracting capital. However, challenges persist, including stringent environmental regulations and public perceptions of nuclear safety.

• Strategic Energy Realignment: This move supports a balanced energy portfolio, where nuclear provides consistent power alongside renewables, contributing to national security and economic competitiveness.

In conclusion, the U.S. effort to bolster its strategic uranium reserve represents a pragmatic step toward enhanced energy autonomy. While not without implementation challenges, such as funding constraints and timelines, it positions the nuclear industry for sustained growth in a demanding global landscape. Stakeholders should monitor these developments closely, as they hold significant implications for energy policy and market stability.

-Lucijan

📬 Insider Transaction Action

Remember: Insiders sell for all kinds of reasons: taxes, divorce, buying property, or simply rebalancing after a big run. But they only buy for one reason: they believe the price is going higher.

Here’s this week’s action:

🗞️ This Week in Nuclear News

📈 Equity Ratings & Price Targets

Silex Systems (SLX) — Canaccord raised price target to A$6.90 (+3.9%).

ASP Isotopes (ASPI) — Maintained at Buy with $11 price target.

Energy Fuels (UUUU) — HC Wainwright lifted price target to $16.25 from $12.

Paladin Energy (PDN) — Citi cut price target to A$9.00 (–3.2%).

NuScale Power (SMR) — RBC initiated at Sector Perform with $35 price target.

💰 Financing & M&A

Paladin Energy (PDN) — Completed equity raise of A$300M.

Myriad Uranium (M) — Increased placement to $550.000.

Premier American Uranium (PUR) — Completes Acquisition of Nuclear Fuels.

⚙️ Ops & Strategy

IsoEnergy (ISO) & Purepoint (PTU) — Drilled up to 8.1% U3O8 at Dorado.

Nano Nuclear (NNE) — Signed LOI with Cambridge Atom Works to sell it’s ODIN microreactor.

EnCore Energy (EU) — Preparing permits for Dewey Burdock.

Cameco (CCJ) — Signed deal with Slovenské Elektrárne for UF6 supply.

Peninsula Energy (PEN) — Produced it’s first yellowcake at Lance project.

BWX Technologies (BWXT) — Secured contract worth $1.5B from U.S. nuclear agency.

🎙️ Interviews & Market Talk

Lucijan lined up two sharp macro and commodities conversations this week, one covering uranium alongside the broader commodity complex, and another digging into the debt-driven setup for precious metals.

1️⃣ Commodities Outlook — Uranium, Gold, Silver, Copper
Lobo Tiggre tackles the state of the commodities market with his trademark straight talk. He covers the macro backdrop, the risks around overhyped uranium projects, and why copper, gold, and silver could dominate in the coming years. Expect insights on political risk, mining jurisdictions from Niger to Bolivia, and how to position across the resource sector. A must-listen for anyone balancing uranium exposure with the wider commodity cycle.

👇 Watch the interview

2️⃣ Hyperstagflation Nightmare: Skyrocketing Debt Signals Gold’s Massive Surge
Francis Hunt, better known as the Market Sniper, lays out why the U.S. debt spiral and rising inflation could set up a “hyperstagflation” scenario. He breaks down what that means for the economy, why corporate taxation is a looming risk, and how retail investors need to adapt. Precious metals take center stage, with gold, silver, and platinum positioned as the ultimate beneficiaries if this macro storm plays out.

👇 Watch the interview

🎥 Uranium Outlook: Yellow Cake CEO Andre Liebenberg breaks down the company’s strategy, its $1.5B uranium stockpile, and the demand drivers reshaping the fuel cycle. A quick look at why supply lags while nuclear demand keeps climbing.

👉 Watch here

🎥 Overview of Uranium Spot and Term markets: Per Jander of WMC joins Jimmy Connor to unpack the uranium spot and term markets, sharing what’s driving prices now and where they could head into year-end.

👉 Watch here

⚛️ Wrapping up

The Fed gave us the first cut of the cycle, and Powell made it clear: liquidity is back. Bonds and credit are signaling more room to run, and the message for investors is simple: cash is trash.

In uranium, the setup only tightened further. Traders are stepping in, SPUT is stacking, producers are stumbling, and Russia just announced plans for 38 new reactors while extending sanctions on enriched uranium.

Utilities have fewer places to hide, and investors have fewer reasons to sit on the sidelines.

Until next time: stay tactical, stay disciplined, and stay critical. ⚛️

Fredrik

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DISCLAIMER: We're not your financial advisor. This is for informational and educational purposes only. Always do your own research, and don’t make decisions based on internet strangers (even nuclear-obsessed ones like us). Nothing contained in this report should be construed as a recommendation to buy, sell, or hold any securities.