Trading Summary (November 08, 2001)

After gaining some ground in response to unexpected rate cuts by the European Central Bank and the Bank of England (and expectations of similar cuts by the Bank of Canada), the Toronto Stock Exchange fell through the afternoon to end at 7,140.8 points, off 6.45 points from its previous close. The utilities sector led the six advancing subindices gaining 170.14 points or 1.4%. The golds went the other way plunging 232.85 points or 4.5% to end at 4,950.94 points. The bas metal issues suffered a 4.36-point lose to 3,768.95 points.

Diversified miner Teck Cominco led the nations miners gaining 12 to $11.21 on just less than 2.8 million. Gold miner Placer Dome fell $1.18 to $17.70 on less than 1.7 million shares to place second.

Most of the other gold majors suffered a similar fate as that of Placer. Barrick Gold lost 90 to $24.75; Kinross Gold shed a nickel to $1.33; Franco-Nevada was $1.54 lower at $21.25. In New York gold slid US$4.20 to US$276.20 per z. as investors continued to warm to the U.S. dollar.

Late on Thursday, Kinross posted a third-quarter loss of US$8.7 million (or 3 per share) on revenue of US$63.7 million, compared with a year-ago net loss of US$14.3 million (6 per share) on US$64.3 million.

Among the mid-tier producers: Glamis Gold dropped 23 to $5.15; Novagold shed 8 to $1.82; Iamgold lost 3 to $3.37; Agnico-Eagle Mines slid 60 to $16.40; Goldcorp fell 71 to $18.03; and Meridian Gold was 65 lower at $17.25.

The base metal issues were a quieter bunch, aside from Teck Cominco. Inco gained 11 to $22.96 on 723,136 shares; Sherritt International rose a dime to $4.25; Aur Resources found a dime to end at $2.65; and Breakwater Resources was 2.5 higher at 19.5.

On Thursday, COMEX copper prices jumped on news that Australia’s BHP Billiton plans to cut production by 170,000 tonnes per year, as demand falls. COMEX benchmark December copper rose US1.3 to 61.9 per lb. Spot November charged 0.8 higher to 61.2 per lb.

Canada’s junior exchange managed to extend its recent rally led by gains in mining-related issues. The Canadian Venture Exchange ended the day up 20.81 points, or 0.7% to finish the day at 3,006.31. The Mining Index gained 65.62 points, or 0.9% to close at 7,674.99.

Leader Mining International continued to soar to new heights, adding 29 to close at $2.30 on 227,925 shares. The junior has been busy tying up ground near Hope, BC. The Harrison Lake property covers an ultramafic belt that extends over 60 km northwest from the B.C. Nickel mine, which mined and milled a reported 4.2 million tonnes grading 1.19% nickel and 0.46% copper.

A nice percentage gainer, Samex Mining climbed 2 to close at 9 on 100,000 shares. The company is awaiting drill results from the Eskapa copper-gold property in Bolivia.

Crowflight Minerals gained 3 to end the day at 24 on 152,500 shares. The company is in the middle of a legal battle with fellow junior Millstream Mines over an option to earn a 50% stake in the Airport property located in the Sudbury basin area of Ontario. Millstream has terminated Crowflights’ option but the junior insists that the agreement is still valid. The property lies just east of claims being explored by Falconbridge and Aurora Platinum. Millstream ended the day unchanged at 7.

Oliver Gold lost 2 to end the day at 19 on 67,750 shares. Stock in the Lawrence Nagy-led junior has been actively traded since announcing a proposed 9.3-for-1 roll back and a merger with privately held Hastings Resources. The annual general meeting is set for Dec. 21.