US markets rise, July 5-9

The Dow Jones Industrial Average rose 0.24% to finish the week at 34,870.16 and the S&P 500 climbed 0.40% to 4,369.55. Spot gold rose by US$20.60 per oz., or 1.15%, to US$1,807.90 per ounce. 

Rio Tinto climbed US$2.36 to US$85.99 per share. Rio Tinto and POSCO, South Korea’s largest steel producer, have inked a memorandum of understanding to jointly explore, develop, and demonstrate technologies to speed up the transition to a low-carbon emission steel sector. The partnership will explore a range of technologies for decarbonization across the value chain, from iron ore mining to steelmaking. The deal includes integrating Rio Tinto’s iron ore processing technology and POSCO’s steelmaking technology. In December, Rio Tinto announced that it was investing US$10 million in low-carbon steelmaking projects over the next two years as part of its partnership with China Baowu Steel Group, China’s largest steel producer. POSCO said it aims to become carbon-neutral by 2050.

Shares of Gold Fields dropped US5¢ to US$9.13. Chile’s environmental watchdog is close to deciding whether the company harmed a group of 25 short-tailed chinchillas by attempting to move them so it can access 3.5 million oz. of extractable gold and 39 million oz. of silver from its Salares Norte project in the country’s north. Chinchillas, hunted for their thick, soft pelt, are now only found in the wild in parts of Chile and are protected by law. With the assistance of Chilean authorities, the South African gold producer launched an operation last year to relocate the colony of endangered rodents living around the project. Gold Fields has invested a total of US$400,000 to date in the project, which includes various population surveys using satellite technology to ensure chinchilla survival.

Alcoa fell US48¢ to US$37.44 per share. The company announced that it will supply EcoLum, its low-carbon primary aluminium, to WKW Extrusion’s Erbsloh Aluminium for its new brand of semi-finished extrusion alloys. Alcoa said that EcoLum, which has a carbon footprint that is approximately three and a half times better than the global average, is a key enabler in allowing manufacturers to reduce their emissions profile. “Manufacturers and consumers continue to demand the use of more sustainable raw materials across the global supply chain,” Adam Smith, Alcoa’s vice president of aluminium sales and trading, stated in a press release. Erbsloh Aluminium, he added, “has a strong reputation as a manufacturer of high-quality products for a range of critical industries, and this agreement reflects our continued drive to advance sustainably and work with customers on solutions.”