Source: Argentina Lithium.

The TSX eked out gains of 0.62 per cent on Friday due to lower precious metal and crude prices.

Gold ended the trading day down by 1.04 per cent due to rebounding U.S. tech giants, such as Microsoft, Meta and Alphabet, as well as an earnings beat from Apple, restoring faith in the U.S.’s market-leading returns over the last decade.

WTI was down by 1 per cent at the 4:00 pm mark, driven mostly by top importer China taming demand through the expansion of its zero-COVID policy.

Imperial Oil reported a spike in Q3 profits thanks to persistently high energy prices, while Air Canada doubled quarterly revenue on rebounding travel demand, adding to a sense of optimism driven by the Bank of Canada’s (BoC) lower-than-expected 50 basis point interest rate hike on Wednesday.

The BoC signalled that it is closer to the end of its tightening campaign, sending equities higher and positioning the TSX for its second-consecutive week of gains. That said, the institution sees the economy stalling by the end of the year and into 2023.

Data from Statistics Canada showed that the economy grew by 0.1 per cent in August, slightly more than expected, while likely remaining positive throughout the summer, further serving to ease recessionary fears.

Growth in service industries was balanced by a decline in goods-producing industries.

Retail, wholesale trade, agriculture and the public sector registered growth.

Construction, manufacturing and mining, quarrying and oil and gas extraction contracted.

Preliminary estimates see real GDP growing by 0.1 per cent in September, while an estimate for Q3 GDP suggests growth of 1.6 per cent YoY, down from 3.3 per cent YoY in Q2.

Against a backdrop of resilient consumer spending, slowing housing demand, low unemployment, and supply chains still wrestling with inflation multiples over the BoC’s target rate, the likelihood of continued volatility remains high as markets digest conflicting inputs into future expectations and create undervalued opportunities for active investors along the way.

With that, we’ll now delve into four stories that commanded the bulk of our investor community’s attention over the past week.

Else Nutrition (TSX:BABY) enters Chinese market, details company expansion

Else has launched in China, the world’s largest infant formula market.

It opened its flagship store with Baozun on Tmall Global on September 29.

The company is also reporting that its Kids Shakes will soon be available in Walmart stores in 35 states across the U.S.

Co-Founder and CEO Hamutal Yitzhak spoke with Daniella Atkinson about the milestones.

The news follows placements in major U.S. retailers such as CVS and Winn-Dixie, as well as reaching #1 in its category on Amazon, all of which adds considerable momentum to Else’s growth story. The company reported 44-per-cent revenue growth in Q2.

Else Nutrition develops plant-based food and nutrition products for infants, toddlers, children and adults.

Else Nutrition (BABY) closed down by 1.45 per cent over the past week, trading at $0.68 per share.

RevoluGROUP Canada (TSXV:REVO) provides corporate and product updates

RevoluGROUP Canada announced that RevoluSEND has begun remittances to Venezuela, marking the 117th country covered by the service.

RevoluGROUP remains focused on increasing market share for remittances within the Cuban and South American expatriate communities in the U.S.

CEO Steve Marshall sat down with Daniella Atkinson to discuss the news.

The company’s ongoing expansion – including its recent Visa Affiliate Member status and its approval as one of Europe’s first authorized crypto-stored value and trading entities – has led to discussions about a potential acquisition by a financially regulated European entity allied with a U.A.E.-based financial consultancy firm.

The parties will finalize preliminary due diligence in 45 calendar days from the October 17th announcement.

RevoluGROUP Canada deploys advanced technologies in banking, mobile apps, money remittance, cross-border forex payments and blockchain systems, among others.

RevoluGROUP Canada (REVO) closed up by 28.81 per cent over the past week, trading at $0.38 per share.

Argentina Lithium (TSXV:LIT) announces positive results at Rincon West

Argentina Lithium has announced positive lithium brine values from the third and fourth diamond drill holes at its Rincon West Project in Argentina.

The fourth exploration hole yielded lithium values from 334 to 382 mg/litre over a continuous 132 m interval.

The company managed to produce lithium brines, stepping out 1.8 km south from its previous drilling.

Further drilling will delineate the project’s brine aquifer to the west and north.

Miles Rideout, VP Exploration, sat down with Daniella Atkinson to highlight the results.

Argentina’s strategic global location may allow the company to supply the battery sector at more competitive prices.

Positive results from the first and second drill holes at Rincon West also support the potential for long-term economic production.

Lithium prices per tonne are up approximately 5x since 2021.

Argentina Lithium & Energy acquires lithium projects in Argentina and advances them to production to meet the growing demand for electric batteries.

Argentina Lithium (LIT) closed up by 12 per cent over the past week, trading at $0.28 per share.

NioCorp’s (TSX:NB) demonstration plant achieves phase 1 milestone

NioCorp’s (NB) processing plant in Quebec has demonstrated its planned process for removing calcium and magnesium from ore.

The ore stems from its Elk Creek Project, a large underground niobium, scandium and titanium deposit in Nebraska.

The company plans to assess the commercialization of the material produced once it obtains sufficient financing.

CEO Mark Smith joined Daniella Atkinson to discuss the achievement.

Elk Creek represents the highest-grade primary niobium resource in North America and boasts strong pre-production sales, including 75-per cent of ferroniobium for the first 10 years (50 per cent to ThyssenKrupp), and 12 per cent of average annual scandium production over the first 10 years to Traxys North America.

The project also offers attractive economics, including a 36-year mine life, a 2.86-year after-tax payback period, a pre-tax NPV of $2.56 billion, and an IRR of 27.3 per cent.

Given that Elk is the only project of its kind under development in the U.S., potential investors may benefit from a first-mover advantage, as its resources have all been designated as critical minerals by the U.S. government.

NioCorp Developments is a U.S.-based mineral development company focused on critical minerals.

NioCorp (NB) closed down by 2.54 per cent over the past week, trading at $1.15 per share.

Gitennes Exploration (GIT) has signed agreements to option its JMW and Maxwell properties to Newfoundland Discovery Corp. (CSE:NEWD).

Newfoundland Discovery can initially earn a 70-per-cent interest in each property and has the right to earn an additional 15-per-cent interest.

Newfoundland Discovery Corp. is planning to spend approximately $800,000 on exploration between the two properties. 

On the JMW property, geophysics and diamond drilling are proposed, and for Maxwell, an airborne Magnetometer survey will be conducted.

Ken Booth, President of Gitennes Exploration, sat down with Sabrina Cuthbert to discuss the news.


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