TSX rides the roller coaster

After a wild ride over the March 14-18 period the TSX Composite Index recovered nicely from early losses and gained 244.63 points to finish at 13,789.63 points.

Market volatility came courtesy of the tsunami in Japan and fears of a nuclear meltdown. And as fears over the reactor began to quiet a U.N. backed force began an attack on Libya raising more uncertainties.

Connected to the global turmoil, the Index was helped by a late-week announcement of coordinated central bank intervention by G-7 countries to boost the yen.

The overall uncertainty helped gold miners, if only slightly, as the Global Gold Index was up 1.11 points to finish at 381.11 despite the price of the metal falling. Gold was down US$4.50 to US$1,420 per oz. for the period.

The Capped Metals & Mining Index also managed to carve out a gain in the order of 71.11 points to finish at 1,408.12. The diversified miners grew as talk turned to rebuilding Japan and copper, nickel, tin and lead prices rose. The prices for aluminum and zinc, however, remained relatively flat.

As the world grappled with the safety of nuclear reactors in light of the disaster at Fukushima Daiichi nuclear power plant, the price for uranium fell sharply from the US$70 per lb. range down to the US$55 per lb range. Uranium explorers and miners fell with the price as Cameco, Denison and Paladin Energy dropped on heavy volume, while Uranium One, Ur-Energy and UEX Corp were amongst the heaviest losers by percentage points of all miners.

And while the sentiment towards uranium changed dramatically over the period, the food story remains consistent. Rising food prices continue to fuel healthy valuation for fertilizer miners. This period saw Minemakers enjoy the market spotlight as the company gained 32% to finish at 53¢. The company updated the market on the progress being made at the Sandpiper phosphate project in Namibia. The project is being pushed towards feasibility by the joint venture group of Minemakers, Union Resources and Tungeni Investments.

Energy Fuels was hit by a confluence of bad news. The uranium and vanadium developer released word that the Sheep Mountain Alliance in Colorado was challenging the company’s licence in the state. The news sent the company’s shares crashing 42% for the period to finish at 47¢. The group argues that the company’s radioactive materials license was issued without conducting the necessary administrative procedures. Energy Fuels filed its own motion to dismiss Sheep Mountain Alliance’s lawsuit. The company is looking to construct the Piñon Ridge uranium mill near in the state.

And Lundin Mining’s management warned shareholders about a rival offer for the company from Equinox Minerals. Lundin argues that Equinox’ offer amounts to an option to acquire the company at their discretion at an inadequate price. Lundin shares were up 20¢ to $7.34 for the period while Equinox shares rose by 50¢ to $5.24.