Posted: Friday Sep 7 11:07:37AM 2012
Article from the Globe and Mail yesterday. Can it be true?
It’s only one month, but there is a hint that the the doldrums for junior
stock trading are coming to an end.
Trading in August on the junior resource stock-dominated TSX Venture Exchange
jumped 23 per cent in August from July. That’s the first month over month
increase since February.
Throw in gold prices that are starting out September by cracking $1,700, and
oil prices that are proving resilient, and there’s some hope that the vicious
bear market that saw investors walk away from Canadian junior resource stocks en
masse is drawing to a close. The main index tracking Venture stocks is up about
8 per cent since hitting a three-year low in late June.
what it was in early 2011. Volume is down 19 per cent from August 2011.
But given what has been endured by junior investors -- and the bankers and
traders who serve them -- any signs of life are very welcome.
Meanwhile, over at the senior Toronto Stock Exchange, you can still hear the
crickets chirping. Volume declined 7 per cent from July and 42 per cent from
August 2011. The numbers were about the same for Alpha, the rival market that
TMX Group just bought.