Vancouver Stock Exchange High rates, low prices, cool economy

A September rally hasn’t materialized, so there isn’t much joy in Vancouver these days. The past week on the Vancouver Stock Exchange was relatively quiet, but volumes were picking up toward the end of our report period, largely attributed, we gather, to bargain hunting, particulary among gold issues and a few oil and gas stocks.

Analysts are saying the rise in interest rates and lower oil prices have cooled the economy down, and because this is anti-inflationary, gold stocks, oil and gas issues and bullion prices haven’t fared too well. So as some investors move out, bargain hunters move in.

At press time the Index was down 3.12 points at 941.43, with 156 advancers, 179 decliners and 375 issues unchanged.

International Damascus moved ahead 3 cents to 63 cents , likely spurred by news that MacMillan Energy would be buying 260,000 of its shares over the next month. International Damascus has a 50/50 joint venture with Granges Exploration to develop its Ox precious and base metal project near Houston, B.C. NCA Minerals, involved in several U.S. gold projects, also moved ahead, gaining 6 cents to $1.06.

Destiny Resources, which has a joint venture with Noranda on the Windjammer project in Ontario, was the most active issue over our report period, remaining unchanged at $1.02. Vanwin Resources, although more into publishing than exploration, gained 12 cents to 38 cents .

Halycon Resources, a Prime Capital company now drilling its Peerless project near Helena, Montana, moved up 40 cents to $1.00. Bonanza silver values were encountered from this polymetallic project, most from between surface and a depth of 200 ft. The company has also mobilized drills to the Tashota project near Thunder Bay, Ont., where one of two target areas has a drill- inferred reserve of 220,000 tons averaging 0.21 oz gold per ton.

Prospector Airways, active in a number of ventures in British Columbia, moved up a dime to 65 cents . Suntac Minerals, the newest member of the Northair Group of companies, gained 2 cents to 90 cents on moderate volume. The company has an option to earn a 60% interest in the Polaris-Taku mine project in Northwestern B.C.

Cream Silver Mines, which has some tough negotiating to do with the B.C. government for compensation of its claims in Strathcona Park, dropped 3 cents t o 32 cents . NDU Resources, active in the Yukon, slipped 50 cents to $2.45 on low volume, while Tenajon Silver, busy drilling the S.B. Property near Stewart, B.C., lost 7 cents to $1.40.