STOCK MARKETS — TSE edges higher after 2-week run

The Toronto Stock Exchange closed a little higher over the period Aug.

21-27, following a 2-day slide that took away some of the gains made in an 8-day upward run.

The TSE 300 composite index was 22.99 points better, at 5,173.88. Most market sectors shared in the gains, except for the weakening high-technology stocks. The golds and metal miners both posted gains that were slightly ahead of the market as a whole. Volumes picked up, averaging about 86 million shares per day between Aug. 21 and 27, suggesting there was a move into the market by institutional buyers.

At US73.12 cents, the Canadian dollar was up 34 basis points aginst the U.S.

dollar, even in the face of a quarter-per-cent cut in the Bank of Canada’s overnight loan rate on Aug. 22. The Bundesbank pushed European interest rates downhill last week, allowing most European currencies to fall slightly in Canadian dollar terms.

London bullion prices were firm, with gold adding $1.20 to fix at US$388.65 per oz. on the morning of Aug. 28. Platinum was 50 cents higher at US$400 per oz. and silver held last week’s big gain to finish the report period at US$5.21.

The TSE gold and precious minerals sub-index was up 60.23 points, finishing the period at 11,879.80. Bema Gold was unchanged at $11.20, and was one of the most heavily traded of the gold issues at 7.4 million shares. Barrick Gold, 35 cents lower at $37.55, was successful in its takeover offer for Arequipa Resources, getting 93% of the outstanding shares. Most long-term Arequipa shareholders opted for a trade of 0.79 of a share of Barrick and 50 cents for each share of Arequipa. The latter was down 30 cents to $29.85.

Other active TSE golds included: Kinross, up 85 cents to $11.20; TVX Gold, 10 cents higher at $11.40; and Placer Dome, off 35 cents to close at $33.65.

Apart from nickel, which picked up 8 cents to finish at US$3.27 per lb. in the Aug. 28 LME ring, the base metals were quiet this week. Copper and zinc were unchanged at US89 cents and US45 cents per lb., respectively, and lead was off 1 cents at US36 cents.

Toronto base metals issues were 34.14 points higher at 5,317.40, with a gain of 0.6% that was slightly higher than the broad market. The blue-chip integrated miners, Inco and Noranda, were heavily traded, further suggesting that the institutions are adding to their portfolios. Inco was up 50 cents to $44.85 and Noranda was down 15 cents to close at $28.85. Other market favorites were Falconbridge, which added 65 cents to close at $29.90, and uranium producer Cameco, up $1.70 to $69.05.

Losing ground were Aur Resources, off $1.85 to $8, International Curator, down $1.15 to $15.25, and Gibraltar Mines, which closed 30 cents lower at $5.

Diamond Fields Resources came off the TSE listing as the Inco merger was completed.

On the junior boards NovaGold Resources was up 18 cents to 37 cents on a volume of 4.3 million shares, while Scorpion Minerals added $2.40 to close at $6.25. AJ Perron Gold was up 5 cents to 11 cents, following completion of a financing.

Among the more heavily traded Toronto juniors were Cambiex, up 26 cents to $1.50 on a volume of 2.9 million shares, and Pangea Goldfields, up 60 cents to $7.25 on 2.1 million.

Montreal juniors were relatively quiet this week. Recent market darling Vior Mining was off 2 cents to $1.07 but was still traded heavily, with a volume of 2.7 million shares. Sirios Resource was up 14 cents to 71 cents on news that additional gold mineralization had been found at its Grande project. New Goldcore Ventures, which released results from its drill program at the Clinton copper project in the Eastern twps. of Quebec, added 18 cents to close at 55 cents.