Gerardo Del Real,
Editor
July 31, 2024
It’s Fed day. By the time you read this Jerome will likely be laying the groundwork for a policy shift that once again will benefit asset owners and increase liquidity to said asset owners. He will tell you they are going to cut rates to lower rates for potential homeowners.
The truth is the U.S. has been so irresponsible over the past several decades with its budget that we now have over $35 trillion in debt, a $1 trillion increase since January and over 50% since January of 2020.
It won’t end well but the madness can go on for longer than any of us deem reasonable. I never short stocks but if there was an ETF on the competency of our elected and non-elected leaders I would. We live in interesting times.
Nuclear Melt-Up Handing
Investors A Fortune
You’ve likely heard of nuclear meltdowns before. Practically everyone has.
But few people know what a nuclear ‘melt-up’ is or how one works. Just take a look at the massive gains investors saw during the last nuclear melt-up:
Laramide Resources – 30,800%
International Enexco – 114,300%
Paladin Energy – 130,400%
Those last two could have allowed you to become a one-stock millionaire with just a $1,000 investment.
Go here for the full story and the top 3 Uranium stocks for your portfolio.
What I can do is make sure I’m allocating capital to sectors that have robust trends anchoring the next several years. There are a few. The copper space, the lithium space and the uranium space.
Cameco just reported earnings and highlighted what we’ve been telling you would play out.
Production isn’t keeping up with estimates. Production from its Inkai JV in Kazakhstan fell 21% in Q2 year-over-year and 18.6% in the first half year-over-year citing challenges with sulfuric acid supply.
The company went on to say that “the days of easy, cheap pounds coming from Central Asia are essentially over.” Adding, “the global cost curve is going up and we are going to need to see higher sustained prices.”
Ditto for cheap supply coming out of Africa.
The trend is clear, there will be fortunes made and the recent pullback in the uranium equities is a gift that should be taken advantage of.
We’ve already racked up 200%-400% gains over the last several years by taking advantage of being ahead of the trend. I’m looking for a repeat of that for the next leg higher.
Let's get it,
Gerardo Del Real
Editor, Daily Profit Cycle