NuScale Power and Other Nuclear Stocks Retreat After Policy-Driven Rally
Nuclear energy stocks, including NuScale Power (SMR), Oklo (OKLO), and Centrus Energy (LEU), are retreating on Friday after a one-day rally driven by the House passing the Ratepayer Protection Act. The legislation requires large energy users like data centers to cover their own generation costs rather than spreading them across utility customers, which had boosted optimism for dedicated power sources such as small modular reactors. The decline in nuclear stocks is sector-specific and not indicative of broader market weakness, with the Global X Uranium ETF (URA) falling 2% while the SPDR S&P 500 ETF Trust (SPY) dipped only slightly. NuScale Power shares are down nearly 7%, extending a year-to-date drop of over 40%. Oklo is off by 5%, and Centrus Energy has fallen 3%. The sell-off suggests traders may have been taking tactical profits after the policy-driven surge. Adding to market sentiment, Holtec International canceled its planned IPO on Wednesday. CEO cited unfavorable conditions in the AI data center economy as a key factor behind this decision.
Topics: ETFs nuclear_energy stock_prices