Trading Summary (September 17, 2001)

As expected, the major U.S. markets suffered significant losses on Monday, their first day of trading since before last Tuesday’s terrorist attacks. The Dow Jones industrial average spiralled 7.07% on the day (its largest ever one-day loss) to 8,920.7, the lowest in about three years. The Nasdaq index plummeted 6.8% to 1,579.55, its lowest level since October 1998. The S&P 500 index shed 4.92% to 1,038.76.

All of the precious metals saw gains in New York. Gold found US$1.45 to end at US$287.45 per oz., silver rose 11 to $4.37 per oz., platinum rose US$1 to US$471 per oz. and palladium gained US$3 to hit US$458 per oz. Most of the base metals suffered losses in Europe.

Having taken its beating last week, the Toronto Stock Exchange managed to recover from a lower opening to edge up 17.15 points to 6,908. Better performers were the communications, consumer products and paper and forest sectors, which all rose about 3%. The golds continued their see-sawing, finishing off 198.39 points, or 3.7%, at 5,165.97 to lead the TSE’s four declining subindices.

Barrick Gold, Kinross Gold and Placer Dome took the brunt of the selloff among the golds. Barrick fell $1.80, or 6.4%, to $26.15 on about 4.9 million shares. Kinross dropped 9, or 5.5%, to $1.55 on 3.3 million shares and Placer Dome lost 70, or 3.7%, to $18.49 with 3.2 million shares traded.

On the flip side were Viceroy Resources, up 2.5, or 18.5%, at 16, and Novagold Resources, 14, or 9.3%, higher at $1.64. Viceroy recently inked a settlement agreement with debtors, paving the way for the company to seek new opportunities. Novagold awaits assay results from the first six drill holes of its first-phase delineation drill program on the Donlin Creek deposit in Southwest Alaska.

Alcan led a quiet bunch of base metal miners with just more than 1 million shares on the go. The aluminum giant’s stock fell $1.55 to $48.50. Inco dropped a quarter to $23.20, Falconbridge slipped 8 to $15.45, Sherritt International lost a dime to $4.29 and Breakwater Resources shed 3, or 7.3%, to 38.

Last Friday, Breakwater announced that its bankers agreed to extend by a month, to Oct. 31, a deadline requiring the zinc miner to raise $16 million The company says it will still proceed with a previously announced rights offering for 23.2 million shares at 50 apiece to raise the money. The company has already raised $6 million.

Canada’s junior exchange followed the major bourses lower. The Canadian Venture Exchange plunged 37.72 points, or 1.3%, to finish the day at 2,843.12. The Mining Index dropped 82.36 points, or 1.1%, to close at 7,225.29.

Ventures Resources topped the most actively traded chart among junior explorers, losing 1 to close at 1 on nearly 1.6 million shares. In early June, the company launched a US$800,000 exploration program on its Veta property in east-central Alaska.

A big percentage mover, Gold Canyon Resources jumped 43 to end the day at $2.03 on 248,587 shares. The junior is in the midst of a 2,300-metre drill program on its Cordero gallium project in Humboldt County, Nevada.

Shares in Poplar Resources ended the day down 1 at 27 on a volume of 474,400. The company’s 65%-owned subsidiary is working the Sundsvall diamond and Bottenbacken polymetallic project, both in Sweden.

Quaterra Resources moved higher on news that the drill rig is turning on its Union Bay platinum-palladium property in Alaska. Shares in the company tacked on 5 to 24 on a volume of 160,000.

Radius Exploration touched yet another 52-week low following the release of the latest assay results from the Bridge zone on its Tambor gold property in Guatemala. Stock in the Simon Ridgway-led junior lost 2 to close at 33 on a volume of 151,000.