Staples, Real-Estate Lead Charge
Stocks in
Toronto
resumed their upward course early Wednesday, led by energy stocks as crude oil prices rallied, while financial sector stocks also rose.
The S&P/TSX Composite Index moved higher 59.33 points to open Wednesday at 13,370.38,
The Canadian dollar reversed 0.03 cents to 74.55 cents
U.S.
Billionaire Bill Ackman on Tuesday called Valeant Pharmaceuticals a "very valuable asset" but forecast that if the company's situation does not stabilize soon, new management will be brought in or the company will be sold.
Valeant shares acquired 99 cents, or 1.2%, to $85.93.
Crescent Point Energy said it expected 2016 capital expenditure and production to be at the lower end of its forecasts and the company slashed its dividend.
Crescent Point shares faded 41 cents, or 2.3%, to $17.37.
Imperial Oil said it agreed to sell 497 remaining company-owned Esso retail stations to five fuel distributors for about $2.8 billion
IMO shares took on 91 cents, or 2.1%, to $45.27.
National Bank Financial resumes coverage on Advantage Oil & Gas with an outperform rating.
Advantage shares gained five cents to $7.04.
RBC raised the rating on Atlantic Power to sector perform from underperform.
Atlantic shares advanced 11 cents, or 4.3%, to $2.67.
Desjardins raised the rating on New Gold to buy from hold. New Gold shares added eight cents, or 1.7%, to $4.94.
The Bank of Canada today announced that it is maintaining its target for the overnight rate at 0.5%. The bank rate is correspondingly 0.75% and the deposit rate is 0.25%
ON BAYSTREET
The TSX Venture Exchange dipped 1.18 points to 569.37
All but three of the 13 TSX subgroups were positive in the first hour, as consumer staples gained 1.1%, while real-estate moved north 0.9%, and financials took on 0.8%.
The three laggards were gold, down 3.4%, materials, off 2.3%, and the metals and mining sector, sliding 1.8%.
ON WALLSTREET
Stocks south of the border traded mostly higher Wednesday as oil prices rose and investors awaited the outcome of Thursday's European Central Bank meeting.
The Dow Jones Industrial average recovered 47.15 points to 17,011.25, with Chevron leading all constituents higher except Nike.
The S&P 500 added 4.54 points to 1,983.80, with energy leading all 10 sectors higher.
The NASDAQ index inched up 3.84 points to 4,652.66, as Amazon declined more than 1%. Apple held about 0.5% lower.
In economic news, weekly mortgage application volume increased 0.2% on a seasonally adjusted basis, according to the Mortgage Bankers Association.
Wholesale inventories rose 0.3% in January, while sales declined 1.3%.
ECB President Mario Draghi is expected to announce more stimulative measures, with hopes of expansion of the asset purchase program and a possible further cut to the already negative deposit rate.
The U.S. Federal Reserve and Bank of Japan are due to hold meetings next week.
Wednesday also marks the seventh anniversary of the bull market and the S&P 500 is up 193% since the close on March 9, 2009.
Prices for the 10-year Treasury sank, lifting yields to 1.86% from Tuesday's 1.83%. Treasury prices and yields move in opposite directions.
Oil prices eked up 62 cents a barrel to $37.12
U.S.
Gold prices fell $14.18 to $1,247.26
U.S.
an ounce.
DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer
