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It seems the past two weeks have been extremely busy for what is supposed to be the summer doldrums.

All the biggest news was ably handled by the stellar Streetwise team while I was on vacation in what should have been a quiet period. However, a few notable items were waiting in my inbox when I got back, from some interesting numbers regarding Canadian stock trading to a big deal in the power sector that has the possibility of a dividend increase at one of the country's independent producers.

Potash Corp. rival drops guidance

Potash producer K+S AG dropped its attempt to provide any guidance to investors, saying the mess triggered by the breakdown of one of the world's major potash selling groups caused too much turmoil. "Last week, Uralkali triggered speculation about price declines on the global potash market. No company is immune to that, including K+S," the company said in a statement.

The upside for Canada is that the company is planning to keep going with its Legacy potash project in Saskatchewan, meaning jobs and taxes.

Trading volumes pick up

July's trading volumes in both senior and junior stock markets looked rosier. Summer started very quietly for trading, leading to some speculation that there was another big leg down in trading volumes coming. However, July looked better than the same month a year ago, with Toronto Stock Exchange volumes up 10 per cent and TSX Venture Exchange volume up 12 per cent.

Northland Power deal may force investors to wait for payouts

Northland Power is in expansion mode, having unveiled what one industry banker said is one of the biggest deals ever by a Canadian independent power. Northland bought 55 per cent of a North Sea wind farm off the Dutch coast, paying out $400-million plus pledging $32-million in credit support. That's just the upfront cost however, as the total project cost approaches $4-billion. The downside for investors looking for income is that dividend increases may now have to wait, according to Jacob Securities Inc. analyst John McIlveen. He had expected the payout ratio at Northland to drop to 40 per cent next year, which he called "ripe territory for a dividend increase." (Jacob Securities acted as a financial adviser on the deal.)

Breton Hill named Canada's top hedge fund

Breton Hill Capital was named the best Canadian hedge fund at the Hedge Funds Reviews Americas Awards, just two years after really getting rolling. Breton Hill is a macro fund, and is backed by Calpers, which has invested $200-million in the company's funds.

(Boyd Erman is a Globe and Mail Capital Markets Reporter & Streetwise Columnist.)

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Tickers mentioned in this story

Study and track financial data on any traded entity: click to open the full quote page. Data updated as of 28/03/24 0:22pm EDT.

SymbolName% changeLast
NPI-T
Northland Power Inc
-1.21%22.08

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