This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Mining Companies Fall On China, European News

The Associated Press

Shares of mining companies fell Thursday on new signs of slower growth in China and Europe.

Investors are worried that weakening economies in China and Europe could affect worldwide demand for raw materials such as copper and coal.

A Chinese manufacturing index compiled by HSBC declined to 48.1 in March from 49.6 in February. Figures below 50 indicate that manufacturing is contracting. The report came on the heels of weaker Chinese housing data, adding to questions about the outlook for the world's second-largest economy. Fast growth there has been a key factor shoring up the global economy since the financial crisis of 2008.

China is a huge importer of raw materials that are used in everything from power generation to manufacturing and construction. If it produces fewer goods and cuts back on building as its economic growth slackens, that could hurt prices for coal, iron and other commodities.

Separately, financial information company Markit said that its European purchasing managers' index declined to 48.8 in March from 49.3 in February. The index tracks the services and manufacturing sectors for countries that use the euro as currency.

In addition, new government statistics showed that Ireland dropped back into recession at the end of 2011.

Gold and copper miners were down in midday trading: Shares of Freeport-McMoran Copper & Gold Inc. fell $1.51, or 3.8 percent, to $38.29; Barrick Gold Corp. shares fell 65 cents to $42.98; and shares of Newmont Mining Corp. dropped 72 cents to $52.45.

Coal miners, which supply material for power generation and making steel, also fell. Alpha Natural Resources Inc. dropped 74 cents, or 4.4 percent, to $15.97; Arch Coal Inc. declined 45 cents, or 3.7 percent, to $11.61; Cliffs Natural Resources Inc., which mines coal and iron, declined $2.45, or 3.5 percent, to $68.65; James River Coal Co. dropped 27 cents, or 4.5 percent, to $5.67; and Peabody Energy Corp. fell 97 cents, or 3 percent, to $30.49.

Copyright 2011 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
SYM TRADE IT LAST %CHG

Markets

DOW 18,232.02 -53.72 -0.29%
S&P 500 2,126.06 -4.76 -0.22%
NASDAQ 5,089.3620 -1.4320 -0.03%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs