Trading Summary (May 07, 2004)

Toronto’s gold stocks plummeted 9.97 points, or 5.3%, to end Friday’s trading session at 177.79, its lowest since last August. The gold miners suffered as the yellow metal dropped below the US$380-per-oz. level to US$378.40 per., US$9.40 off its previous close. Better-than-expected job numbers on both sides of the border have rekindled fears of an early rise in interest rates in the United States, sending the dollar higher, and the gold price lower. The diversified miners didn’t fare much better dropping 5.78 points, or 2.8%, to 198.45. Overall, the S&P-TSX composite Index ended 152.9 points lower at 8.274.79 with all of its subindices in the red.

Beleaguered McWatters Mining was the nation’s busiest mining issue with nearly 13.2 million shares finding their way half a penny lower to half a cent. On Friday, the company said that the TSX is reviewing it notes on an expediting basis with respect to meeting the requirements for continued listing. McWatters recently completed a fire sale of its key assets by agreeing to sell its Sigma-Lamaque mining Complex to Vancouver-listed Century Mining for $25.9 million. Bigger percentage losers among the falling miners were Cancor Mines, off a dime, or 29%, at 25; Pioneer Metals, down 4.5, or 18%, at 20.5; Weda Bay Minerals, 9, or 17.3% lower at 43; Cusac Gold Mines, a nickel, or 16.7%, cheaper at 25; and X-Cal Resources, which slipped 9, or 14.8%, to 52.

Standing out with significant gains were General Minerals, plus 20, or 13.3%, at $1.70; Amerigo Resources, up 19, or 12.8%, to $1.68; and Manhattan Minerals, which gained 2, or 13.3%, to make 17. On Friday, Amerigo reported first-quarter net earnings of US$3.8 million, a 271% increase on the previous quarter. The increase comes mostly on higher copper prices.