U.S. Markets (February 14, 2011)

A drop in the unemployment rate, rising metal prices and accelerated merger and acquisition activity combined to boost optimism about economic recovery in the United States, sending the Dow Jones industrial average and the S&P 500 index to new two and a half-year highs. The S&P 500 index rose 2.71% to 1,310.85 points, while the Dow Jones industrial average was up 2.3% to 12,092.15. The price of gold climbed US$10.20 per oz. to close the Jan. 31-Feb. 4 period at US$1,348.60. The Philadelphia Gold and Silver index gained 3.78% to 207.25. 

With copper hitting record highs, Freeport-McMoRan Copper & Gold climbed US$7.62 per share to US$56.76. In late January the company reported net income attributable to stock in 2010 reached US$4.3 billion or US$9.14 per share, compared with US$2.5 billion or US$5.86 per share in 2009. At Teck Resources, where copper contributes 31% of operating profits, shares gained US$4.61 to US$62.51. Teck has five producing copper mines spanning Chile, Peru and Canada.

Potash Corp. of Saskatchewan was up US$7.28 to US$181.44 per share. On Feb. 1 the company announced that it would soon begin an 18-month process to restart its anhydrous ammonia plant in Geismar, Louisiana, which was suspended in 2003 because of the high price of natural gas. Since then, PotashCorp has had to use imported ammonia to make its other products at Geismar. The company will invest about $158 million to restart the plant. Agrium, meanwhile, was up US$3.80 to US$91.70 on no news.

Cliffs Natural Resources advanced US$7.18 to US$90.27 per share. On Feb. 3 Cliffs  published details on a base case scenario for the development of its Black Thor chromite deposit in northern Ontario. The company plans to build a ferrochrome production facility that at full capacity would produce 1,500 tonnes of ferrochrome per day. The ferrochrome metal would be sold for use in stainless steel manufacturing in North America and worldwide. Cliffs said it expects to complete a prefeasibility study on Black Thor by September. 

Newmont Mining‘s proposed acquisition of Fronteer Gold drove the Nevada-focused gold explorer’s shares up US$4.62 to US$14.46. 

U.S. most active issues

VOLUMEWEEK

(000s)HIGHLOWCLOSECHANGE

Alcoa*AA15378617.3916.1817.14+1.04

Alpha Nat Res*ANR8771357.0952.2353.09-4.79

Massey Energy*MEE7754566.0761.5862.40+5.17

Freeport McMo*FCX67528114.2155.0056.76+7.62

Hecla Mining*HL5797510.058.849.67+0.58

Silver Wheatn*SLW5645635.1730.5633.86+2.37

Intl Coal Gp*ICO495189.768.218.38-0.48

Barrick Gold*ABX4735949.2246.7048.11+0.81

Newmont Mng*NEM3559158.1054.5256.97+1.97

Goldcorp*GG3412642.2139.9341.64+0.90

U.S. greatest percentage change

VOLUMEWEEK

(000s)HIGHLOWCLOSECHANGE

Fronteer Gold*FRG2764314.619.7514.46+46.9

Commerce Grp*CGCO210.040.030.04+33.3

Uranium Res*URRE199713.342.603.34+31.5

Uranerz Energ*URZ90595.794.605.77+29.9

Claude Res*CGR27782.561.872.54+29.5

Am Engy Field*AEFI4540.950.690.89+27.1

Habanero Res*HBNRF1310.100.090.10+25.0

Linux Gold*LNXGF950.050.050.05+25.0

Legend Intl H*LGDI9471.070.821.03+21.1

Mines Managem*MGN7053.782.873.63+20.2

Silver Dragon*SDRG33880.120.090.09-18.1

Patriot Gold*PGOL150.100.090.10-16.6

Infrastrc Mat*IFAM100.250.210.21-16.0

Gold Am Mng*SILA11690.270.200.22-12.0

Tri-Valley*TIV27790.440.380.38-11.6

Bullion Monar*BULM1751.060.900.93-11.4

Crystallex In*KRY44600.280.230.24-11.1

Global Gold*GBGD2180.180.150.17-10.5

Midway Gold*MDW8371.341.031.20-9.0

Canarc Res*CRCUF4690.270.190.21-8.7

U.S. greatest value change

WEEK

VOLUMECLOSECHANGE

Freeport McMo*FCX6752822256.76+7.62

Potash C Sask*POT16552783181.44+7.28

Cliffs Nat Rs*CLF1539804190.27+7.18

BHP Billi-BHP*BHP1642043394.28+7.08

BHP Billi-BBL*BBL727747681.27+6.07

Massey Energy*MEE7754526762.40+5.17

Fronteer Gold*FRG2764256414.46+4.62

Teck B*TCK2008708362.51+4.61

Agrium*AGU282821891.70+3.80

Agnico-Eagle*AEM1411241372.77+3.65

Alpha Nat Res*ANR8771328653.09-4.79

Intl Coal Gp*ICO495175978.38-0.48

Patriot Coal*PCX1149008925.10-0.36

North Am En P*NOA34733311.25-0.27

Midway Gold*MDW8370921.20-0.12

Bullion Monar*BULM1749530.93-0.12

MDU Res*MDU484715520.84-0.08

Almaden Mnls*AAU18461573.82-0.07

Tri-Valley*TIV27789570.38-0.05

Infrastrc Mat*IFAM100000.21-0.04