Equity markets in Toronto moved modestly ahead on Monday after lower-than-expected euro-zone inflation data raised expectations that the European Central Bank could ease monetary policy.
The S&P/TSX composite index increased 53.79 points to begin a new week at 14,314.51.
The Canadian dollar added 0.38 cents at 90.77 cents U.S.
Canadian National Railway Co and the union representing its conductors, yard workers, and traffic coordinators have agreed to start an arbitration process that ensures their most recent contract dispute will not lead to a strike at the rail operator. CN shares took on 42 cents to $61.85
Sterigenics, a sterilization services provider owned by private equity firm GTCR LLC, has reached a deal to buy medical isotopes supplier Nordion Inc for $727 million. Nordion shares hiked $1.24, or 10.8%, to $12.76.
On the economic beat, Statistics Canada reported this morning that real gross domestic product rose 0.5% in January. This follows a 0.5% decline in December after five consecutive monthly increases.
ON BAYSTREET
The TSX Venture Exchange grew 5.53 points to 995.28
All but three of the 14 Toronto subgroups were higher, led by industrials, 0.9%, while consumer discretionaries and financials were each up 0.6%
The three laggards were gold, down 1%, materials, off 0.4%, and information technology, slipping 0.05%.
ON WALLSTREET
Stocks look set to close out a lackluster first quarter on a positive note Monday.
The Dow Jones Industrial Average hiked 144.82 points to 16,467.88. The S&P 500 index gained 15.27 points to 1,872.89. The NASDAQ leaped 47.81 points to 4,203.57
But it's been a choppy three months. The Dow is down about 1% while the S&P 500 is up roughly 1%. The NASDAQ had been the best performing major market index for most of the first quarter, but is now flat following a big selloff in momentum stocks recently.
Airlines have been among the better performing stocks so far this year. Shares of Delta Air Lines and Southwest are both up over 20%.
Looking ahead to the second quarter, investors hope strong economic data and fading geopolitical risks will help stocks resume their five-year bull run.
There is little economic or corporate news on the docket Monday, but investors are gearing up for a busy week which concludes with the government's jobs report on Friday.
Shares of General Motors were down nearly 2% as investors continue to worry about the company's handling of a recall for a flawed ignition switch in several of its models.
Shares are down nearly 17% so far this year. GM CEO Mary Barra will testify before Congress on Tuesday and Wednesday about the problems, which have been blamed for at least 13 fatalities.
BlackBerry shares fell after the struggling smartphone maker was downgraded by several analysts Monday morning. After enjoying an early boost in 2013 on hopes of new CEO John Chen's turnaround strategy, BlackBerry has tanked in recent days despite reporting a narrower-than-expected loss.
Shares of Disney bounced after its "Frozen" became the highest grossing animated film of all time after opening big in Japan over the weekend.
Google shares edged up. The tech giant's much anticipated 2 for 1 stock split takes place later this week. Shareholders will get another share for each one they own currently. The stock split was first announced two years ago, but was held up by a legal battle in which some shareholders raised objections.
Prices for 10-year U.S. Treasuries slid, upping yields to 2.74% from Friday’s 2.71%. Treasury prices and yields move in opposite directions.
Oil prices gave up eight cents to $101.59 U.S. a barrel.
Gold prices dropped $5.10 to $1,288.70 U.S. an ounce.
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