U.S. stocks edge lower, Feb. 23-27

February was kind to U.S. stocks. Reuters reported that the Dow Jones Industrial Average rose 5.6% in its best monthly performance since January 2013; the S&P 500 Index was up 5.5%, its best monthly performance since October 2011; and the Nasdaq Composite Index climbed 7.1%, its best monthly performance since January 2012. But in the last trading week of the month only Nadsaq ended in the black, edging up 0.2% to 4,963.53, while the Dow lost 0.04% to finish at 18,132.70, and the S&P 500 lost 0.3% to 2,104.50. The Philadelphia Gold & Silver Index rose 3.6% to 76.94.

Agrium posted the biggest jump among the miners, advancing US$2.57 to US$115.53 per share. It unveiled its annual guidance for 2015 of US$7 to US$8.50 earnings per share, noting that “prospective 2015 grower cash margins have moved back to historical average levels” from the lows of late 2014, and that management expects the improvement will “support normal levels of crop input demand in 2015.” The company estimates potash production this year of between 1.9 and 2.2 million tonnes, and nitrogen production of 3.6 to 3.8 million tonnes. Agrium also reported that consolidated net earnings from operations in the fourth quarter of 2014 totalled US$70 million, or US46¢ per diluted share, compared with net earnings from continuing operations of US$110 million in the same quarter of 2013. Fourth-quarter profit fell US$8 million to US$732 million year-on-year. The company has agreed to issue and sell US$550 million of debentures due March 15, 2025, and US$450 million of debentures due March 15, 2035. The proceeds will cut short-term debt.

Tahoe Resources gained US50¢ per share to close at US$13.96. Tahoe reported on Feb. 25 that it had written approval from the majority of its shareholders to merge with Rio Alto Mining. The merger will combine Tahoe’s producing high-grade Escobal silver mine in Guatemala with Rio Alto’s Peruvian assets: the La Arena gold mine and the Shahuindo gold project.

Shares of Rio Tinto fell US$1.34 to US$49.33. The company is reshaping corporate functions and “condensing” into four product groups: aluminum; copper and coal; diamonds and minerals (including uranium); and iron ore.