Morning Market Breakdown, March 27: After a strong finish on Monday, most major commodities and markets spent Tuesday morning simmering down.
Monday (March 26) ended on a positive note for the S&P/TSX Composite Index (INDEXTSI:OSPTX), as it picked up 74.82 points to close at 15,298.56.
Tuesday (March 27) morning saw small losses as the index dropped 33.82 points to hit 15,264.74.
The S&P/TSX Venture Composite Index (INDEXTSI:JX) tripped and fell at close on Monday, landing at 816.54, a 1.26-point loss. The TSXV continued to slip on Tuesday morning as it fell 3.42 points to 813.12.
Boosts in the gold and discretionary sectors helped give the TSX a push forward, as Magna International (TSX:MG) picked up 3.9 percent and Canadian Tire (TSX:CTC.A) rose 15 cents to $165.98. Meanwhile, Barrick Gold (TSX:ABX) gained 1.7 percent and Nighthawk Gold (TSX:NHK) saw a 4.8 percent increase. Only three of the TSX’s 12 subgroups finished in red yesterday, as utilities fell 0.8 percent, telecoms down 0.3 percent, and consumer staples lost 0.1 percent.
Monday saw the Dow Jones Industrial Average (INDEXDJX:.DJI) brush itself off and bounce back as it grabbed 669.40 points to close at 24,202.60. Tuesday morning continued the Dow’s gain streak as it picked up 60.03 points to reach 24,262.63.
The S&P 500 (INDEXSP:.INX) landed in the green at Monday’s close when it scooped up 70.29 points to reach 2,658.55. Tuesday morning found further positivity when it picked up 3.35 points to reach 2,661.90.
Microsoft (NASDAQ:MSFT) was the shining star of the Dow Jones yesterday, as the tech company rose 7.6 percent after Morgan Stanley claimed the company’s cloud adoption could push its market cap to US$1 trillion. In the meantime, Boeing (NYSE:BA) finally saw some positive results on Monday as the company’s shares gained 2.5 percent following the news that it had delivered its first 787-10 Dreamer Jet to Singapore Airlines.
Note: All numbers shown above were accurate as of 10:00 a.m. EST.
Gold maintained a steady pace when it closed at US$1,353.50 per ounce on Monday. It had a small fall from grace on Tuesday morning as it reached US$1,341.81. Silver kept up a strong effort when it closed at US$16.71 per ounce on Monday. It took a small tumble Tuesday morning as it hit US$16.54.
Copper continued to struggle on Monday when it closed at US$2.97 per pound. It saw a much-needed gain on Tuesday morning when it reached US$2.99.
Major miner news
- Nevsun Resources (TSX:NSU): Nevsun has released new assay results from its exploration drill program of the Lower Zone at its Timok copper-gold project in Serbia. Some highlights include the discovery of 1.00% Cu and 0.20g/t Au (1.14% Cu equivalent) over 556.8 meters starting at 1,310 meters, and 0.91% Cu and 0.18g/t Au (1.04% Cu equivalent) over 558.0 meters starting at 1,366 meters.
- Endeavour Silver (TSX:EDR, NYSE:EXK): The company has updated its progress on its Terronera silver-gold mine in Mexico through project engineering studies on operating parameters. Some highlights include an optimal output of 1500 tonnes per day, leading to an estimated annual production rate of 5 million ounces of silver equivalents per year.
- Kinross Gold (TSX:K, NYSE:KGC): Kinross has announced the end of the U.S. Securities and Exchange Commission regulatory investigation of its West African mining operations. This comes through a mutually agreed upon cease and desist order with the SEC, and a payment of US$950,000 to the SEC as a civil penalty.
- MAG Silver (TSX:MAG): MAG Silver has announced its consolidated financial results for 2017. Some highlights include a newly expanded resource estimate for its Juanicipio project, which entails the low life of the mine AISC being US$5.02 per ounce of silver over an initial 19-year mine life.
- Sabina Gold & Silver (TSX:SBB): Sabina has filed a final base shelf prospectus with the securities regulatory authorities across Canada, excluding Quebec. This will allow the company to make offerings of up to $500 million of any combination of common shares, debt securities, subscription receipts, units and warrants.
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Securities Disclosure: I, Olivia Da Silva, hold no direct investment interest in any company mentioned in this article.