HK Stock Market Move | CGN MINING (01164) falls by more than 4% again, uranium prices are under pressure due to nuclear disarmament and the resumption of production at Inkai. Institutions say the market may have overreacted.

CGN MINING (01164) fell by more than 4% again, dropping 3.33% to HKD 1.45 as of the time of publication, with a trading volume of HKD 34.0957 million. On the news front, U.S. President Trump expressed his hope to discuss nuclear disarmament with China and Russia. Huayuan Securities pointed out that the market may be concerned that large-scale nuclear disarmament could lead to the conversion of highly enriched uranium used in nuclear weapons into low enriched uranium for nuclear fuel, affecting the supply of natural uranium and causing a recent decline in uranium prices. The bank believes that the market may be reacting too strongly. With the current global political landscape, the possibility of large-scale nuclear disarmament is low, and the trend of changes in the uranium supply-demand landscape will not change, with natural uranium remaining in short supply in the medium to long term. Huaxi also pointed out that according to Hithink RoyalFlush Information Network data, the global actual market price of uranium in January was $58.96 per ton, reaching nearly a 15-year high. Kazakhstan's Kazatomprom announced the suspension of production at its Inkai uranium mine starting January 1, 2025, but then announced its resumption on January 27, with limited impact on global uranium supply. Overall, the industry's supply-demand dynamics continue to support an optimistic outlook for uranium prices.