The Paladin Energy Ltd (ASX: PDN) share price finished in the red on Tuesday despite the company’s silence.
However, the price of uranium – the commodity the company produces – has seemingly levelled out over the last few days after spiking last week.
Additionally, notable global funds invested in the energy commodity struggled overnight.
As of Tuesday’s close, the Paladin share price is 94 cents, 2.59% lower than its previous close.
For context, the S&P/ASX 200 Index (ASX: XJO) gained 0.55% on Tuesday.
Meanwhile, the Paladin share price dragged on the S&P/ASX 200 Energy Index (ASX: XEJ). Though, the sector still managed a 1.29% gain.
Let’s take a closer look at what happened to the uranium producer’s shares today.
What’s been weighing on the Paladin share price?
The Paladin share price lost ground today despite the broader market’s upwards momentum.
It was likely dragged down by the price of uranium. The commodity’s value slumped slightly yesterday after appearing to stall for much of last week, according to Trading Economics.
Those movements (or lack thereof) followed its rally last Wednesday, which saw the commodity’s value reach an 11-year high.
Perhaps unsurprisingly, the Paladin share price launched 9.64% on Wednesday and another 6.59% on Thursday. Thus, today’s dip could be simple price-taking.
Interestingly, while the price of uranium hasn’t gone far in recent days, the Global X Uranium EFT (exchange-traded fund) plunged 3.14% in Monday’s session in New York.
Meanwhile, the Sprott Physical Uranium Trust – the world’s largest physical uranium fund, listed on the Toronto Stock Exchange – also slumped 2.12% yesterday.
Additionally, many of Paladin’s uranium-producing peers were also in the red on Tuesday.
Deep Yellow Limited (ASX: DYL) released its quarterly activities and cash flow reports for the three months ended March 31 today. Its share price also ended in the red on Tuesday, slumping 1.32%.
That of Bannerman Energy Ltd (ASX: BMN) recorded a deeper loss, falling 3.17%.
The Boss Energy Ltd (ASX: BOE) share price was the outlier of the pack, gaining 3.36% on Tuesday.
The post What happened to the Paladin Energy share price on Tuesday? appeared first on The Motley Fool Australia.
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More reading
- These were the best performing ASX 200 shares last week
- Why are ASX uranium shares getting so much attention right now?
- These 3 shares are topping the ASX 200 volume charts on Thursday
- The Paladin Energy share price has surged 19% in a week. Here’s why these brokers are tipping more gains
- New ASX uranium share to hit boards next month and investors are already pouncing
Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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