US stocks stay afloat, Dec. 23-31

The Dow Jones Industrial Average and S&P 500 Index both failed to register annual gains, while posting small gains during the trading period. The Dow added 7.7 points to end at 17,425.03, down 2.2% for the year. This is its first annual loss since 2008. The S&P 500 Index added 0.2% during the period to finish at 2,043.94, but posted a 0.7% annual loss, snapping three years of double-digit gains. The Nasdaq Composite closed at 5,007.41, up 5.7% for the year. Spot gold fell 1% during the period to close at US$1,061. The metal is down 10% for the year.

Randgold Resources was the second top-value gainer, advancing US$1.99 per share to finish at US$61.93. On Dec. 21, the miner ended its conditional investment agreement with AngloGold Ashanti to form a joint venture to redevelop the Obuasi gold mine in Ghana. It explains the proposed investment did not meet its investment criteria. Under the agreement announced in September, redevelopment could have cost up to US$1 billion. AngloGold intends to run Obuasi’s limited operating phase through the first quarter of 2016. The iconic high-grade mine sits 320 km northwest of the capital, Accra, in Ghana’s Ashanti region. It still has reserves of 24.5 million tonnes grading 6.70 grams gold per tonne for 5.29 million oz. For the year, Randgold shares were down 7.4%.

BHP Billiton posted a Dec. 22 update regarding the Nov. 5 dam collapse at Samarco’s iron ore operation in Brazil that killed at least 17 people. BHP and Vale each own 50% of Samarco. Brazil’s Federal Court has ordered the companies to undertake certain remedial actions within specific deadlines, among other conditions. The companies also face a US$5.2-billion lawsuit. Samarco, BHP and Vale have together hired a New-York based law firm to conduct an external investigation into the cause of the dam failure. BHP finished the trading period up US$1.42 per share at US$25.76. The stock has fallen 42% since the end of 2014.

On Dec. 23, Goldcorp said it decommissioned its El Sauzal gold mine in Mexico in accordance with the International Cyanide Management Code. Goldcorp gained a nickel during the trading period to finish at US$11.56 per share. The stock has dropped 36% from its 2014 close of US$18.04.