Basic Materials Stocks, Including AngloGold Ashanti Limited, Making Big Moves on October 18, 2012

After the morning's trading, the Nasdaq has decreased 0.3%, the S&P 500 has moved little and the Dow has moved up 0.1%. The basic materials sector is the category of stocks that accounts for companies involved with the discovery, development and processing of raw materials. This sector includes the mining and refining of metals, chemical producers and forestry products. The basic materials sector is sensitive to changes in the business cycle. Because the sector supplies materials for construction, it depends on a strong economy. This sector is also sensitive to supply and demand fluctuations because the price of raw materials, such as gold or other metals, is largely demand driven.

The Basic Materials sector (XLB) has risen 0.1% overall, and these are the biggest movers in the sector so far:

Company	Market Cap	Percentage Change
Universal Forest Products (Nasdaq:UFPI)	$833.8 million	-11.2%
AngloGold Ashanti Limited (NYSE:AU)	$13.46 billion	-4.6%
Harry Winston Diamond Corporation (NYSE:HWD)	$1.2 billion	-4.3%
Georgia (NYSE:GGC)	$1.35 billion	+2.7%
Sigma-Aldrich (Nasdaq:SIAL)	$8.98 billion	-2.5%
Sinopec Shanghai Petrochemical Co (NYSE:SHI)	$2.16 billion	+2.4%
Randgold Resources Ltd (Nasdaq:GOLD)	$11.48 billion	-2.3%

Software Summary: Finviz.com Stock Screener

Taking a 11.2% hit, Universal Forest Products (Nasdaq:UFPI) is currently trading at $37.53 per share. So far today, the company's volume is 180,696 shares, three times its current daily average.

AngloGold Ashanti Limited (NYSE:AU) is trading at $33.33 per share, down 4.6%. So far today, the company's volume is one million shares.

Harry Winston Diamond Corporation (NYSE:HWD) has fallen 4.3% and is currently trading at $13.57 per share. At 585,672 shares, the company's volume so far today is lighter than yesterday's volume of 2.5 million shares.

Increasing 2.7%, Georgia (NYSE:GGC) is trading at $40.18 per share. This morning, the company is trading a volume of 566,428 shares. This is 0.8 times its average volume over the past three months.

At $72.50, Sigma-Aldrich (Nasdaq:SIAL) has slipped 2.5%. So far today, the company's volume is 557,852 shares, 1.5 times the current daily average.

After an increase of 2.4%, Sinopec Shanghai Petrochemical Co (NYSE:SHI) has reached a current price of $30.71. This morning, the company is trading a volume of 2,624 shares.

Currently trading at $122.05 per share, Randgold Resources Ltd (Nasdaq:GOLD) has fallen 2.3%. So far today, 231,131 shares have changed hands, on pace to reach yesterday's volume of 478,979 shares.

The Bottom Line No matter the economic climate, Wall Street will always have stocks that make major moves each week. It is important to weigh current activity against historical performance when making any investment decisions. Tools like valuation ratios and profit margins, however, are only as useful as the context you put them in; remember to take historical data and competitor performance into account.