The report stated that the PCE price index rose 2.6 percent year-over-year in May, and increased just 0.1 percent month-over-month compared to April. This year-over-year increase marks the lowest since March of 2021, the last time it was below the central bank’s target 2 percent inflation rate.
Additionally, the report indicated that personal income saw a modest 0.5 percent growth in May while personal spending bumped up 0.2 percent since April.
The decrease was headlined by a 2.5 percent decrease in the forestry subsector followed closely by a drop of 1.1 percent in the minerals and mining subsectors. On a granular level, metallic mineral extraction grew 1.8 percent, which was offset by a 2.8 percent fall in primary manufacturing.
Even though the real GDP decreased, export volumes for the first quarter grew 1.6 percent, with the minerals and mining subsectors leading the way at 5.3 percent, primarily attributed to outgoing shipments of unwrought gold.
Equity markets were largely flat this past week. The S&P 500 saw a modest increase of 0.02 percent to reach 5,460.49 points, the Nasdaq 100 climbed 0.18 percent to 19,682.87 points and the Dow 30 lost 0.17 percent falling to 39,118.86. Meanwhile, the TSX gained 1.35 percent to 21,875.79 points.
Commodities saw little movement this week with the S&P GSCI posting a slight loss of 0.12 percent to 578.38 points, while precious metals were volatile with gold rising slightly to finish the week at US$2,326.41 per ounce and silver falling to US$29.13.
So how have small cap mining companies on the TSX Ventures Exchange performed this past week? These are the top 5 gaining stocks.
Weekly gain: 85.71 percent; market cap: C$87.23 million; share price: C$0.13
Gowest Gold is an exploration company focused on advancing its flagship North Timmins gold project in Canada.
The property, located northeast of Timmins, Ontario, consists of 11 mining leases and 56 unpatented mining claims over 10,942 hectares and hosts several target areas including the Bradshaw deposit, the Roussain gold zone and the Sherian zone.
In the announcement, Gowest said it has also completed 1,754 meters across five holes at the Roussain zone, but had de-mobilized for the season and would resume exploration activities in late 2024. The company had also drilled 2,033 meters at the Sheridan zone across six holes, with another 400 meters planned.
Weekly gain: 50 percent; market cap: C$12.56 million; share price: C$0.015
Gabriel Resources is a precious metals explorer and developer focused on advancing its Rosia Montana gold project. Based in Transylvania, Romania, Rosia Montana is in a region that has seen significant historic mining. Covering 2,388 hectares, the site is host to a mid-to-shallow epithermal system containing deposits of gold and silver.
Gabriel has invested more than US$760 million into Rosia Montana, but has undertaken little development at the site since the early 2010s, as Romania blocked further development.
Weekly gain: 46.67 percent; market cap: C$50.72 million; share price: C$0.33
Once complete, the mine is projected to produce 3 million metric tons of phosphate concentrate per year. In addition to fertilizer demand, Arianne is also projecting demand from the growth of lithium-iron-phosphate (LFP) batteries.
The study showed that the facility would be able to produce 350,000 metric tons of phosphoric acid annually, with an additional 220,000 metric tons of secondary product for use in fertilizers and animal feeds.
Weekly gain: 42.86 percent; market cap: C$17.42 million; share price: C$0.10
Golden Horse Minerals is a mineral exploration company working to advance its project in New South Wales, Australia.
The project covers a 1,300 square kilometer land package and is composed of four primary zones containing gold and lithium targets. The area has also hosted a number of historic mining sites that have produced over 12 million ounces of gold. The company is currently working to advance the project to the production stage in 2025.
Weekly gain: 41.67 percent; market cap: C$29.02 million; share price: C$0.085
The Joutel project covers an area of 39 square kilometers and is located directly south of Douay. The site hosts Agnico’s past producing Eagle-Telbel mine, which operated from 1974 to 1993. However, the mine itself is 100 percent owned by Maple Gold and is not part of the joint venture. To date, the company has used 250,000 meters of historic drill results to create 3D models to aid in current exploration efforts.
The TSX, or Toronto Stock Exchange, is used by senior companies with larger market caps, while the TSXV, or TSX Venture Exchange, is used by smaller-cap companies. Companies listed on the TSXV can graduate to the senior exchange.
As of September 2023, there were 1,713 companies listed on the TSXV, 953 of which were mining companies. Comparatively, the TSX was home to 1,789 companies, with 190 of those being mining companies.
The exchange lists a handful of other fees and expenses companies can expect, including but not limited to security commission and transfer agency fees, investor relations costs and director and officer liability insurance.
These are all just for the initial listing, of course. There are ongoing expenses once companies are trading, such as sustaining fees and additional listing fees, plus the costs associated with filing regular reports.
Investors can trade on the TSXV the way they would trade stocks on any exchange. This means they can use a stock broker or an individual investment account to buy and sell shares of TSXV-listed companies during the exchange’s trading hours.
Article by Dean Belder; FAQs by Lauren Kelly.
Securities Disclosure: I, Dean Belder, hold no direct investment interest in any company mentioned in this article.
Securities Disclosure: I, Lauren Kelly, hold no direct investment interest in any company mentioned in this article.
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