US stocks stumble, June 1-5

U.S. equities fell on the back of a strong jobs report that showed an improvement in the economy, increasing the chances that the Federal Reserve would hike interest rates in September. The Dow Jones Industrial Average dropped 0.9% to 17,849.46, while the S&P 500 Index fell 0.7% to 2,092.83 and the Nasdaq Composite Index slipped 0.03% to 5,068.46. The gold price lost US$17.70, or 1.5%, to finish at US$1,172.30 per oz. The U.S. economy added 280,000 jobs in May, which is its largest gain since December. However, the unemployment rose to 5.5% from 5.4% in April.

Thompson Creek Metals updated its Mount Milligan copper-gold mine in B.C., where it adjusted several operational challenges from this year’s first quarter. While it expects to make improvements during the second half of the year, it achieved average mill throughput of 50,686 tonnes per day during May — an improvement since the first quarter’s 39,569 tonnes per day. However, throughput is still 20% below the design of 60,000 tonnes per day.

Thompson also reported that it would place its 75%-held Endako molybdenum mine in B.C. on care and maintenance starting July 1, due to renewed weakness in the moly market. About 270 employees will be terminated at Endako, where operations have been suspended since late 2014. The company estimates its share of costs at the mine — including suspension, severance and care and maintenance costs — will total US$20 million in 2015, and US$5 million next year. Thompson climbed 13% to US$1.03 per share.

U.S. Silica, which produces silica used in the oil and gas industry, released its 2014 sustainability report, highlighting its accomplishments over the past year. They included reducing the company’s overall carbon emission by more than 10% and increasing its conservation, technology investments and training programs to ensure safe operations, and introducing products that add value for customers and expand the company’s reach. U.S. Silica gained US$1.95 per share to finish at US$32.80.