Cameco (CCJ) Extends Losses on Higher Uranium Production Expectations

We recently published 10 Stocks Crash as AI Glow Fades. Cameco Corporation (NYSE:CCJ) is one of Wednesday’s worst performers.

Cameco Corp. extended losses to a second day on Wednesday, shedding 4.54 percent to close at $70.47 apiece, as investors appeared to be in a wait-and-see mode for updates on the geopolitical front, alongside macroeconomic uncertainties surrounding the uranium industry.

Cameco Corporation (NYSE:CCJ) dropped alongside its counterparts as investors unloaded positions while waiting for developments on the Russia-Ukraine potential ceasefire that could stamp out the possibility of sanctions on the latter’s strategic nuclear sector.

Image by Markus Distelrath from Pixabay

Without such sanctions, US uranium producers would remain in cut-throat competition with Russian suppliers.

Earlier this week, uranium stocks also took a beating from news that Kazakhstan—the world’s largest uranium producer—is ramping up production of uranium products.

Through KATKO, a joint venture with France’s Orano Mining, Kazakhstan is planning to scale production back up to 4,000 metric tons per year, a level it last touched in 2021 after slashing output by 2,000 tons between 2017 and 2024 due to declining uranium prices.

The higher production is expected to begin as early as next year.