U.S. markets, Aug. 26-30

Concern about a possible U.S. air strike against Syria and anxiety about the timing of the U.S. Federal Reserve’s end to quantitative easing sent U.S. markets down. The Dow Jones Industrial Average fell 1.33% to 14,810.31, the S&P 500 Index lost 1.84% to 1,632.97 and the Nasdaq Composite dropped 1.85% to 3,589.87. The Philadelphia Gold & Silver Index also plunged 7.14% to 103.44, while the New York spot price for gold fell US$1.30 per oz. to finish at US$1,396.50. 

Alexco Resource posted the largest percentage change of the week, jumping 25.8%, or US44¢, to US$2.14 per share on no news. The company said it was unaware of any material undisclosed information. The company owns and operates the Bellekeno silver mine in the Yukon — Canada’s primary silver mine — which started commercial production at the beginning of 2011. In the second quarter ended June 30, Alexco produced 576,155 oz. silver in a 52% increase over the first quarter, 3.7 million lb. lead and 1.3 million lb. zinc. The company posted a quarterly net loss of $49.2 million in the quarter.

Alamos Gold closed its acquisition of Esperanza Resources and gained US8¢ per share to US$16.31. The transaction represented a small portion of Alamos Gold’s market capitalization, but management says that adding the Esperanza gold project could boost its production in Mexico by more than 50%. Alamos plans to resubmit the project’s environmental impact assessment over the next 18 months. 

The arrest in Belarus of the head of Russian potash major Uralkali on suspicion of corruption and abuse of power created further waves in the already stormy potash market, punishing Potash Corp. of Saskatchewan, which lost US22¢ per share to finish the week at US$29.64. Vladislav Baumgertner’s arrest in Minsk followed Uralkali’s announcement in late July that it was leaving the long-term marketing partnership with Belarus’ state-owned potash firm, Belaruskali. That partnership, called Belarusian Potash Co., controls more than 40% of the world’s potash market, and Uralkali’s exit is expected to send global potash prices down by 25%.

U.S. most active issues

U.S. greatest percentage change

U.S. greatest value change