Toronto Stock Exchange – Jan. 13-19

Stock indices were mixed during the Jan. 13-19 trading session. The S&P/TSX composite index rose 48 points, or 0.5%, to 8,841; the S&P/TSX Capped Metals and Mining index lost 2 points, or 0.9%, to 268; and the S&P/TSX Capped Materials index added 14 points, or 6.2%, to 235.

During the session, Nortel Networks filed for bankruptcy protection, with shares in the former high-flying tech giant sinking to a mere 10.5¢.

Manufacturing sales in Canada fell 6.4% in November, and TD Bank economist Grant Bishop expects more declines.

After the trading session, the Bank of Canada lowered its overnight lending rate by 0.5% to 1%, a record low. The Bank expects the economy to shrink through mid-2009, with Canada’s gross domestic product falling by 1.2% for the year on weaker demand and lower exports. The economy is expected to rebound next year, with GDP projected to grow by 3.8% in 2010.

TD Bank’s economics department says base metal prices fell across the board during the week, led by a 14.5% drop in nickel prices, on speculation that stainless steel production will fall in 2009 because of sluggish demand. Precious metal prices also fell on the week, with gold prices dropping by 3% and silver prices falling by 2.6% on a strengthening U. S. dollar, coupled with fears that the recession will dampen demand for all commodities, including precious metals.

Despite the pullback in precious metal prices, gold and silver issues were generally up, signalling that investors were looking beyond the short-term price weakness. Among gainers, Eldorado Gold rose 36¢ to $8.95; Yamana Gold gained 74¢ to $8.50; and Silver Standard Resources added $2.99 to $22.89.

Gabriel Resources, which, so far, has been unable to bring its Rosia Montana gold project in Romania to production, added 65¢ to $2.45.

Aquiline Resources, which owns the huge Navidad silver deposit in Argentina’s Chubut province and wants to mine it via two open pits, vaulted $1.06 to $2.64. There is currently a ban on open-pit mining in the province.

Uranium spot prices fell during the session, giving up US$2, to settle at US$51 per lb. of uranium oxide. Uranium Participation Corp., which holds uranium inventories, lost 29¢ to $7.10. But a number of uranium issues gained during the session, with Denison Mines rising 21¢ to $1.67; Uranium One adding 52¢ to $2.32; First Uranium gaining 50¢ to $3.24; and Strateco jumping 25¢ to 85¢. Heavyweight Cameco gave up 2¢ to $21.75.

Diversified explorer Fronteer Development Group, which has proposed a takeover of uranium explorer Aurora Energy Resources, lost 26¢ to $2.26. Fronteer already owns 42% of Aurora, which declined 29¢ to $1.81.

TSX most active issues
		VOLUME	WEEK
		(000s)	HIGH	LOW	CLOSE	CHANGE
Uranium One	UUU	55179	2.35	1.76	2.32	+ 0.52
Teck B	TCKB	38805	6.95	5.07	5.82	-0.78
Yamana Gold	YRI	31858	8.60	7.29	8.50	+ 0.74
StrataGold	SGV	25278	0.08	0.03	0.05	+ 0.02
Kinross Gold	K	24420	22.45	19.56	22.00	+ 1.59
Goldcorp	G	22509	33.16	29.08	32.54	+ 2.16
Barrick Gold	ABX	21999	43.40	38.05	41.74	+ 3.75
HoriznsGBull	HGU	19678	11.49	9.24	11.16	+1.69
Eldorado Gold	ELD	18612	9.25	8.13	8.95	+ 0.36
Lundin Mng	LUN	14753	1.36	1.16	1.22	-0.03

TSX greatest percentage change
		VOLUME	WEEK
		(000s)	HIGH	LOW	CLOSE	CHANGE
New Dawn Mng	ND	16	0.24	0.15	0.24	+140.0
Mediterrn Res	MNR	1526	0.17	0.09	0.17	+ 88.8
Atlanta Gold	ATG	597	0.20	0.12	0.19	+ 72.7
Aquiline Res	AQI	1005	2.66	1.57	2.64	+ 67.0
StrataGold	SGV	25278	0.08	0.03	0.05	+ 66.6
Sulliden Expl	SUE	258	0.65	0.44	0.64	+ 42.2
Strateco Res	RSC	1792	0.90	0.58	0.85	+ 41.6
Olympus Pacif	OYM	352	0.11	0.08	0.11	+ 37.5
Gabriel Res	GBU	2233	2.50	1.62	2.45	+ 36.1
New Gold	NGD	5270	2.24	1.57	2.12	+ 33.3
Cancor Mines	KCR	57	0.05	0.02	0.03	-40.0
Crescent Gold	CRA	10	0.05	0.05	0.05	-37.5
High Desert Gd	HDG	239	0.25	0.19	0.19	-34.4
Africo Res	ARL	22	0.64	0.41	0.41	-30.5
Aquila Res	AQA	136	0.19	0.14	0.14	-30.0
BioteQ Env	BQE	243	0.57	0.42	0.42	-26.3
Coro Mining	COP	51	0.17	0.14	0.15	-25.0
Vaaldiam Res	VAA	1506	0.04	0.03	0.03	-25.0
BRC DiamondCr	BCD	270	0.25	0.19	0.19	-24.0
PC Gold	PKL	1040	0.31	0.23	0.23	-23.3

TSX greatest value change
WEEK
		VOLUME	CLOSE	CHANGE
IShCOMEXGTr	IGT	22488	104.00	+ 5.79
Agnico-Eagle	AEM	5495955	62.00	+ 5.63
Barrick Gold	ABX	21999265	41.74	+ 3.75
Agrium	AGU	5597302	42.50	+ 3.66
Silver Std Res	SSO	649251	22.89	+ 2.99
Goldcorp	G	22509425	32.54	+ 2.16
Central Gold-T	GTU_U	23429	42.54	+ 1.85
Newmont Mng	NMC	117717	45.41	+ 1.77
Horizns G Bull	HGU	19678492	11.16	+ 1.69
First Quantum	FM	2011526	23.68	+ 1.68
Horizns G Bear	HGD	5115623	11.54	-2.39
Inmet Mining	IMN	1599820	21.60	-1.66
Teck B	TCKB	38805279	5.82	-0.78
Labdr I-Ore Ro	LIF_U	260859	22.17	-0.70
North Am En Pa	NOA	17491	3.60	-0.55
Seabridge Gold	SEA	18210	15.50	-0.48
Uranium Partic	U	837354	7.10	-0.29
Aurora Energy	AXU	625109	1.81	-0.29
Fronteer Dev G	FRG	1939851	2.26	-0.26
Anatolia Minls	ANO	1950278	1.78	-0.19