U. S. MARKETS JULY 8-14

It was another chilling week for the U. S. markets as Treasury Secretary Henry Paulson and his team scrambled to come up with a rescue plan for troubled housing giants Fannie Mae and Freddie Mac. Fannie and Freddie together back US$5.3 trillion of mortgage debt, or about half the outstanding mortgages in the United States. In a dramatic announcement Sunday, the U. S. Treasury Department and the U. S. Federal Reserve said they would extend credit lines and use equity purchases to help stabilize the mortgage finance agencies if necessary.

Record oil prices and inflation worries added to the malaise. The July 8-14 trading session saw the Dow Jones Industrial Average sink 329.02 points, or 2.89%, to close at 11,055.19 points, while the S&P 500 Index fell 45.4points, or 3.56%, to close at 1,228.30 points.

Many investors sought refuge in gold stocks, driving up the Amex Goldbugs Index 48.93 points, or 11.63%, to close at 469.30. Randgold Resources rose US$9.63 to US$54.73, Agnico-Eagle Mines was up US$8.06 to US$79.02 and Goldcorp mounted US$6.69 to US$51.06 per share. Barrick Gold gained US$5.70 to US$50.39 per share, partly on news of its bid for junior oil and gas producer Cadence Energy, to hedge against rising energy costs.

The biggest winner by a long stretch was Potash Corp. of Saskatchewan, which soared US$18.53 to US$228.51 per share. Chief executive Bill Doyle told participants of the recent RBC Capital Markets Global Mining and Materials Conference that potash prices have yet to peak and demand for fertilizer from Brazil, China and India will double over the next 15-20 years. Mosaic Co. posted the second-largest gain with a jump of US$16.26 to US$145.69 per share.

Energy stocks also performed well, with Patriot Coal vaulting US$8.13 to US$137.04 per share, Massey Energy up US$7.78 to US$83 per share and Peabody Energy rising US$2.13 to US$79.28.

Alcoa, the second most actively traded stock after Vale was up US$1.55 to US$34.94 per share and some analysts expect that it will move even higher. A Citigroup Global Markets research report forecasts Alcoawill reach $50 per share over the next 12 months on the back of stronger aluminum prices. Citigroup estimates aluminum prices will climb to US$1.70 per lb. this year from its current US$1.43 per lb. range, and to US$2-2.20 per lb. in 2009-10.

U. S. most active issues
	VOLUME	WEEK
	(000s) HIGH	LOW	CLOSE	CHANGE
Vale* RIO	153881 32.40	30.49	31.75	-0.52
Alcoa* AA	110928 35.66	31.02	34.94	+ 1.55
Goldcorp* GG	53629 51.06	43.01	51.06	+ 6.69
CoeurdAlene*CDE	52520 2.69	2.32	2.58	+0.04
Barrick Gold* ABX	51818 50.53	43.53	50.39	+ 5.70
PotashCSask* POT	50636229.95	197.17	228.51	+18.53
Freeport McMo*FCX	50631 110.84	100.51	109.71	+ 0.56
Peabody Enrgy* BTU	39296 80.43	71.11	79.28	+ 2.13
Newmont Mng* NEM	38035 52.30	47.42	51.92	+ 2.96
Kinross Gold* KGC	34369 24.68	21.50	24.50	+ 2.24

U. S. greatest percentage change
		VOLUME	WEEK
		(000s)	HIGH	LOW	CLOSE	CHANGE
Little Squaw*	LITS	20	0.35	0.30	0.35	+ 40.0
Global Gold*	GBGD	234	0.25	0.10	0.25	+ 31.5
Rubicon Mnls*	RBY	2123	1.50	1.24	1.49	+ 26.2
GoldMountain*	GMEX	123	0.06	0.05	0.05	+ 25.0
Sterling Mini*	SRLM	535	1.39	0.95	1.33	+ 24.3
El Capitan Pr*	ECPN	813	0.19	0.14	0.17	+ 21.4
Randgold Res*	GOLD	4240	54.97	43.84	54.73	+ 21.3
Grandview Gld*	GVGDF	186	0.30	0.20	0.30	+ 20.0
Westmoreland*	WLB	273	23.04	18.15	22.61	+ 15.9
Claude Res*	CGR	669	1.04	0.87	1.04	+ 15.5
Nilam Res*	NILR	30309	0.12	0.01	0.02	-83.3
Beeston Ent*	BESE	89	0.17	0.10	0.10	-37.5
Industrl Mnls*	IDSM	397	0.08	0.05	0.05	-37.5
Buckingham Ex*	BUKX	44	0.20	0.15	0.15	-31.8
AmMex Gold*	AMXG	904	0.07	0.05	0.05	-28.5
Commerce Grp*	CGCO	11	0.24	0.10	0.18	-25.0
Crosshair E&M*	CXZ	95	0.70	0.55	0.55	-23.6
Miranda Gold*	MRDDF	646	0.57	0.35	0.47	-18.9
Douglas Lk Ml*	DLKM	506	0.75	0.50	0.60	-18.9
NWT Uranium*	NWURF	75	0.19	0.13	0.13	-18.7

U. S. greatest value change
WEEK
		VOLUME	CLOSE	CHANGE
Potash C Sask*	POT	50635685	228.51	+ 18.53
Mosaic*	MOS	32123246	145.69	+ 16.26
Cleveland-Cli*	CLF	28767701	113.44	+ 15.09
Alpha Nat Res*	ANR	31437415	98.72	+ 10.98
Randgold Res*	GOLD	4240075	54.73	+ 9.63
Patriot Coal*	PCX	2067300	137.04	+ 8.13
Agnico-Eagle*	AEM	14496884	79.02	+ 8.06
Massey Energy*	MEE	26070082	83.00	+ 7.78
ASA (Bermuda)*	ASA	705380	86.38	+ 6.8 0
Goldcorp*	GG	53628708	51.06	+ 6.69
Harry Winston*	HWD	179100	22.55	-3.62
Southern Copp*	PCU	16119077	32.92	-1.23
Anglo Americn*	AAUK	9548686	29.60	-0.81
Vale*	RIO	153881082	31.75	-0.52
Banro Res*	BAA	109556	6.50	-0.48
Uranium Ener*	UEC	176800	2.39	-0.46
Uranerz Energ*	URZ	906400	2.52	-0.38
Fronteer Dev*	FRG	1106156	4.66	-0.37
MDU Res*	MDU	6443715	33.61	-0.31
OM Group*	OMG	5115157	30.07	-0.28