🔥 Premium AI-powered Stock Picks from InvestingPro Now up to 50% OffCLAIM SALE

CANADA STOCKS-TSX rises as banks gain; gold miners weigh

Published 2016-12-15, 10:38 a/m
© Reuters.  CANADA STOCKS-TSX rises as banks gain; gold miners weigh
EQNR
-
MS
-
AUYN
-
GOLD
-
BHC
-
GSPTSE
-
ATH
-
BBDb
-
CNQ
-
EMPa
-
SLF
-
TD
-
MFC
-
RY
-

(Adds details on specific stocks, updates prices)

* TSX up 41.65 points, or 0.27 percent, at 15,238.83

* Gain followed sharpest fall in a month on Wednesday

TORONTO, Dec 15 (Reuters) - Canada's main stock index rose on Thursday, helped by broad gains for financial stocks a day after the U.S. Federal Reserve hiked interest rates and struck a hawkish note on further increases, a move which weighed on Canadian gold miners.

Energy stocks also gained despite a pullback in oil prices caused in part by a surging U.S. dollar, while Bombardier BBDb.TO surged 3.7 percent to C$1.98 after saying growth in its rail business and the ramp-up of the C Series aircraft program should help boost full-year consolidated revenue in 2017 by a low single-digit percentage. O/R

At 10:09 a.m. EDT (1509 GMT), the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 41.65 points, or 0.27 percent, at 15,238.83. It had its sharpest fall in a month in the prior session.

A string of gold miners topped the list of the index's most influential weights, with Barrick Gold Corp ABX.TO falling 3.7 percent to C$18.81 and Yamana Gold Inc YRI.TO down 6.4 percent at C$3.49.

Gold prices hit their lowest level since early February as the Fed's policy statement pushed U.S. bond yields up, lifting the opportunity cost of holding the non-yielding precious metal. GOL/

The materials group, which includes precious and base metals miners and fertilizer companies, lost 1.8 percent.

The financials group gained 0.8 percent. Higher bond yields reduce the value of insurance companies' liabilities and increase net interest margins of banks.

Royal Bank of Canada RY.TO rose 1.1 percent to C$91.69 and Toronto-Dominion Bank TD.TO added 1.3 percent to C$66.59.

Insurers also rose, with Manulife Financial Corp MFC.TO up 1.9 percent to C$24.83 and Sun Life Financial SLF.TO notching a 2 percent gain to C$52.24.

Supermarket owner Empire Co Ltd EMPa.TO fell 12.4 percent to C$16.39 after reporting a sharp miss on quarterly profit as same-store sales fell. Oil Corp ATH.TO advanced 16.2 percent to C$1.65 after the Calgary-based company agreed to buy Norwegian oil company Statoil ASA's STL.OL Canadian oil sands assets in a deal worth up to C$832 million. Natural Resources Ltd CNQ.TO advanced 0.4 percent to C$44.93 after modestly increasing its 2017 capital budget and saying production should rise by 6 percent. the energy group climbed 0.5 percent.

Valeant Pharmaceuticals International Inc (NYSE:VRX) VRX.TO fell 5.8 percent to C$17.70. Morgan Stanley (NYSE:MS) downgraded the stock to equal-weight from overweight.

Canadian manufacturing sales unexpectedly fell 0.8 percent in October from September on widespread weakness, indicating fourth-quarter growth could be sluggish, Statistics Canada data showed on Thursday.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.