Equities in Canada’s biggest market rose on Wednesday as firming crude oil prices provided relief for the resource-linked market.
The Toronto Stock Exchange's S&P/TSX composite index recovered 142.59 points, or 1.1%, to 13,065.06, after hitting a gulch Tuesday it had not since October 2013.
The Canadian dollar moved higher 0.25 cents to 73.86 cents U.S.
Vancouver-based yogawear retailer Lululemon Athletica reported a 12% fall in third-quarter profit as costs soared. Lululemon shares dropped $3.85, or 7.4%, to $48.32 U.S. in New York.
Executives of Canadian Pacific Railway touted the benefits of the firm’s proposed bid for U.S. railroad Norfolk Southern Corp during a call with analysts on Tuesday, but made it clear they would court activist investors and shareholders to fight a proxy battle to complete the deal.
CP shares gained $1.61 to $173.25.
Rodman and Renshaw initiated coverage on Newmarket Gold with a buy rating. Shares in Newmarket Gold took on three cents, or 2.1%, to $1.49.
ON BAYSTREET
The TSX Venture Exchange recouped 2.04 points to 508.38.
Nine of the 13 TSX subgroups were higher to start out, with metals and mining climbing 3.9%, gold up 2.6%, and materials better by 2%.
The four laggards were weighed down mostly by consumer staples, off 0.7%, information technology, skidding 0.3%, and telecoms, down 0.1%.
ON WALLSTREET
U.S. stocks traded mostly higher Wednesday, helped by news of a potential merger, as investors eyed oil prices and currency moves.
The Dow Jones industrial average charged up 128.28 points to 17,696.28, with DuPont contributing most to gains.
The S&P 500 moved higher 3.51 points to 2,067.10. Materials briefly surged 4 percent to lead S&P 500 advancers.
The NASDAQ index doffed 6.5 points to 5,091.74.
Shares of Dow Chemical and DuPont each jumped more than 10% after news the two chemical giants could have forged a merger by Thursday. The deal was first reported by The Wall Street Journal late Tuesday and will likely be followed by a separation into businesses focusing on agricultural, materials services, and specialty products operations.
Pipeline operator Kinder Morgan late Tuesday cut its quarterly dividend to 12.5 cents U.S. a share, down sharply from the current 51 cents U.S. a quarter.
Copper and gold whiz Freeport-McMoran said it will suspend its common stock dividend, further revise its oil and gas capital spending plans, and curtail copper production "in response to market conditions."
Yahoo confirmed Wednesday it will not spin off its stake in Alibaba. The Internal Revenue Service earlier this year declined to rule on whether the transaction would be tax-free. Shares of Yahoo traded about 0.7% higher in morning trade.
Prices for the 10-year Treasury sagged, boosting yields to 2.25% from Tuesday’s 2.22%. Treasury prices and yields move in opposite directions.
Oil prices were stronger by 55 cents a barrel to $38.06 U.S.
Gold prices improved $5.77 to $1,080.73 U.S. an ounce.
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