Gains Out of the Blocks for Stocks

Cascades, Trican in Vogue

Equities in Canada’s largest centre moved higher on Tuesday, led by the heavyweight financials group as bond yields rose, while the energy group also gained ground.

The S&P/TSX Composite Index progressed 10.8 points to 16,114.31

The Canadian dollar dipped 0.09 cents to 77.7 cents U.S.

Bombardier said its railway division signed a $724-million contract with Britain's Corelink Rail Infrastructure and West Midlands Trains.

Bombardier shares added a penny to $3.18.

CIBC raised the price target on Cascades Inc. to $17.00 from $14.00

Cascades gained 48 cents, or 3.3%, to $34.68.

CIBC cut the price target on Trican Well Service to $6.25 from $6.75. Trican shares faded nine cents, or 2.2%, to $3.96.


The TSX Venture Exchange gained 3.4 points to 794.76

All but three of the 12 TSX subgroups were positive in the first hour, with health-care ahead 1.1%, with energy and financial each taking on 0.2%.

The three laggards were gold, down 0.6%, information technology, off 0.4%, and real-estate, sliding 0.1%.


Blue chips in New York jumped on Tuesday, boosted by gains in Boeing and Verizon. Wall Street also looked to the Federal Reserve as it started a monetary policy meeting.

The Dow Jones industrials rocketed 93.15 points above Monday’s record close to 24,479.18.

Boeing shares surged 3.2%. The company raised its dividend and approved an $18-billion buyback.

Verizon's stock, meanwhile, rose 1.3% after Instinet upgraded it to "buy" from "neutral." Instinet also raised its price target on Verizon to $61 per share from $47, representing a 17.7% upside from Monday's close.

The S&P 500 picked up 3.55 points to 2,663.54, also an all-time closing high, with telecommunications and consumer stocks outperforming.

The NASDAQ composite index subtracted 1.12 points to 6,873.96

The U.S. central bank began its meeting on Tuesday and is largely expected to announce an interest rate hike on Wednesday at 2 p.m. New York time. Market expectations for a 25-basis-point rate increase were at 87% on Tuesday

Prices for the benchmark 10-year Treasury note sagged, raising yields to 2.41% from Monday’s 2.39%. Treasury prices and yields move in opposite directions.

Oil prices tumbled 33 cents a barrel to $57.66 U.S.

Gold prices surrendered $6.10 to $1,240.80 U.S. an ounce.