U.S. Markets Aug. 29 – Sept. 1

Lower oil prices and a hurricane season that wasn’t as bad as feared kept trading activity on U.S. markets bubbling over the trading period Aug. 29-Sept. 1. The Standard & Poor’s 500 Index rose 10.23 points to close at 1,311.01 over the 4 day session, shortened by the last holiday long-weekend of summer.

Goldcorp was the most-active issue as investors digested the merits of its proposed mega-merger with Glamis Gold to create a new US$20-billion senior gold producer. The proposal has received mixed reviews from Goldcorp shareholders, mostly because the company is buying “ounces in the ground” at an unprecedented US$300 per oz. for reserves, and a staggering US$213 per oz. for resources.

Goldcorp shares shed US$2.37 to US$27.35 on the proposal, which some shareholders view as excessively dilutive with little upside. Glamis shares shot up US$7.30 to US$45.34 as giddy investors cheered an offer that effectively values Glamis at about US$8.6 billion.

Brazil’s Companhia Vale do Rio Doce got a boost of US98 to close at US$22.26 on the increased likelihood of success in its takeover bid for Inco.

Former rival Phelps Dodge climbed US$2.93 to US$90.75 as its bid for Inco disintegrated because of a lack of investor and institutional support for the notion that bigger is better, particularly in cases where merging parties are focused on different metals — in this case copper and nickel, respectively.

Exposure to a broad range of commodities gave Rio Tinto another boost to US$205.03, up US$4.60 over the session.

So far at least, senior gold producer Newmont Mining seems immune to merger mania and has even been selling some non-core assets, including its Black Gold oilsands property in Alberta for about US$280 million. The company posted net income of US$374 million for the first half of 2006, up 116% from a year earlier. Even so, its shares slipped US18 to US$51.21 over the session.

Coeur d’Alene Mines gained US49 to US$5.56 and appears to be rebounding from a minor setback triggered in part by environmental opposition to its Kensington gold project in the Alaskan Panhandle.

U.S. greatest percentage change

		VOLUME(000s)	HIGH	LOW	CLOSE	CHANGE
Madison Minls*	MMRSF	1744	1.124	0.50	1.05	+105.8
Centrl Minera*	CENMF	17	0.10	0.07	0.10	+66.6
PolyMet Mng*	PLM	779	3.64	2.68	3.59	+33.9
Alberta Star *	ASXSF	860	1.94	1.42	1.861	+30.6
Cardero Res*	CDY	157	1.90	1.53	1.89	+21.9
Global Gold*	GBGD	14	1.40	1.35	1.40	+21.7
Minefinders*	MFN	86	9.99	8.22	9.90	+20.0
Cumberland Rs*	CLG	458	5.70	4.41	5.41	+19.6
Glamis Gold*	GLG	10107	46.76	37.60	45.34	+19.1
Cusac Gold Mn*	CUSIF	291	0.265	0.228	0.265	+17.2
McKenzie Bay*	MKBY	888	0.137	0.091	0.11	-20.2
Lafayette Mng*	LYMGF	53	0.08	0.06	0.06	-14.2
NT Holding*	NTHH	44	2.35	1.85	2.00	-13.0
Goldcorp*	GG	19947	30.59	26.90	27.35	-7.9
Diamond Discv*	DMDD	1573	0.015	0.011	0.012	-7.6
Newgold*	NGLD	701	0.40	0.37	0.37	-7.5
Northw Min Vt*	NWTMF	417	0.455	0.41	0.42	-6.6
Linux Gold*	LNXGF	409	0.385	0.34	0.365	-6.4
Magnus Intl R*	MGNU	160	1.77	1.68	1.69	-5.8
Mountain Prov*	MDM	42	3.48	3.25	3.29	-5.7

U.S. greatest value change

		VOLUME	CLOSE	CHANGE
Glamis Gold*	GLG	10107000	45.34	+7.30
Rio Tinto*	RTP	685500	205.03	+4.60
Agnico-Eagle*	AEM	4450000	38.56	+3.33
Lihir Gold*	LIHRY	91519	47.58	+3.28
Silver Std Re*	SSRI	1901843	25.92	+3.20
Phelps Dodge*	PD	7041600	90.75	+2.93
Freeport McMo*	FCX	6466300	59.36	+2.77
Meridian Gold*	MDG	2858800	29.73	+2.58
Cameco Corp*	CCJ	3901300	41.73	+2.46
Southern Peru*	PCU	2144300	93.10	+2.34
Goldcorp*	GG	19947200	27.35	-2.37
CONSOL Energy*	CNX	5577200	37.07	-1.20
Teck Comin B*	TCK	155700	67.30	-1.08
Arch Coal*	ACI	7052300	33.65	-0.55
Fording C C T*	FDG	867300	30.20	-0.53
Peabody Enrgy*	BTU	10059500	44.70	-0.49
Foundatn Coal*	FCL	1904500	36.17	-0.48
MDU Res*	MDU	1740200	24.53	-0.42
US Gold*	USGL	2480179	6.39	-0.36
Potash C Sask*	POT	1250900	97.65	-0.30

U.S. most active issues

		VOLUME (000s)	HIGH	LOW	CLOSE	CHANGE
Goldcorp*	GG	19947	30.59	26.90	27.35	-2.37
Goldspring*	GSPG	19301	0.006	0.005	0.005	0.00
CVRD*	RIO	18351	22.31	21.03	22.26	+0.98
Equitable Mng*	EQBM	13140	0.012	0.009	0.01	+0.001
Newmont Mng*	NEM	12823	51.98	50.36	51.21	-0.18
Coeur d Alene*	CDE	11583	5.60	4.95	5.56	+0.49
Alcoa*	AA	11499	29.28	28.35	29.01	+0.16
Silverado*	SLGLF	11128	0.063	0.058	0.06	-0.002
Glamis Gold*	GLG	10107	46.76	37.60	45.34	+7.30
Peabody Enrgy*	BTU	10060	45.35	42.80	44.70	-0.49