U.S. stock markets traded in a narrow range between Nov. 24 and 30, a trading period bisected by the U.S. Thanksgiving holiday. The S&P 500 index closed 3.12 points lower, at 1,173.82, in four trading days that saw the index move in a 14-point band. The Dow similarly changed only 0.6% in the same stretch.
Gold Fields finished at US$14.12, down US8. It and Iamgold announced that they had agreed to a US$200-million cut in the cash contribution that Gold Fields subsidiaries will be putting into the new Gold Fields International. Even Gold Fields conceded the move was a response to Harmony Gold Mining‘s bid for Gold Fields; Norilsk Nickel, which holds a 20% interest, has been explicit about its intention to vote against the Iamgold takeover. Still, Harmony received only 11% of Gold Fields’ stock in an early tender, which signals that Norilsk may be waiting for some clarity, or for new terms to emerge.
Harmony, incidentally, was down a quarter at US$10.48, and Norilsk fell US$2.22 to US$57.90, not least because palladium was down US$5 per oz. during the same period.
The other gold equities were mixed, even though gold bullion prices continued to make new highs: the US$453.40 London afternoon fix on Nov. 30 was the highest since June 20, 1988. Newmont Mining backed up US90 to close at US$47.35 and Compania de Minas Buenaventura fell US19 to US$23.50, but the mid-tiers were mostly better, with Hecla Mining up US18 at US$6.79 and Randgold Resources up US32 at US$12.68.
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