Equities in Canada’s biggest market touched a fresh 18-month high in early trade on Wednesday as banking and materials stocks pushed higher following a Bank of Canada rate decision.
The S&P/TSX Composite acquired 45.69 points to begin the session at 15,171.49
The Canadian dollar dipped 0.04 cents to 75.27 cents U.S.
Dollarama Inc reported a 10% rise in quarterly profit as people spent more in its stores. The company's net income rose to $110.06 million, or 92 cents per share, from $100.08 million, or 78 cents per share, a year earlier.
Dollarama hiked $1.76, or 1.8%, to $101.75.
Barrick Gold said Latin America will play an increasingly important role in the company’s growth strategy. Barrick named a new director with decades of mining experience in that region.
Barrick shares gained 52 cents, or 2.5%, to $21.07.
National Bank Financial resumed coverage on Arizona Mining with an outperform rating, considering a high probability of future exploration success.
Arizona shares demurred two cents to $3.21.
National Bank Financial then cut the target price on Hudson's Bay Company to $17.00 from $18.00
Bay shares gave back six cents to $13.46.
RBC raised the target price on Laurentian Bank of Canada to $57.00 from $52.00, citing the outlook for cost savings given the bank’s transformational plan and branch restructuring initiative.
Laurentian shares trucked higher 42 cents to $55.48.
National Bank Financial raised the target price on Transcontinental Inc to $23 from $21.50.
Transcontinental shares gained 60 cents, or 3.1%, to $20.15.
The Bank of Canada, as expected, 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 gained back 2.82 points to 751.02
All but three of the 12 TSX subgroups were higher, as gold shares jumped 2.1%, materials acquired 1.5%, and consumer discretionary stocks picked up 0.7%.
The three laggards were health-care, sliding 1.2%, while energy and telecoms each skidded 0.2%.
ON WALLSTREET
U.S. equities traded mixed on Wednesday as the massive post-election rally paused, while investors kept an eye on oil prices and awaited a monetary policy announcement from the European Central Bank.
The Dow Jones Industrials improved on Tuesday’s all-time high, gaining 19.5 points to 19,271.28, with Goldman Sachs contributing the most gains.
The S&P 500 added 1.7 points to 2,213.69, with health care sliding more than 1.5% to lead decliners.
The NASDAQ composite index faded 6.86 points to 5,326.14
Entering Wednesday, the Dow had posted gains in 17 of the past 21 sessions and 11 record closes since the election. The S&P, meanwhile, has risen 3.4%, and the NASDAQ 2.7%, since Nov. 8.
Investors also looked ahead to a key ECB meeting, in which the central bank is largely expected to extend its quantitative easing program beyond March 2017, particularly after a Sunday referendum in Italy left the country's banks in a vulnerable spot.
There are no major U.S. economic data due Wednesday, one week before a Federal Reserve meeting in which the U.S. central bank is expected to raise interest rates. Experts put the chances of a rate hike around 95%.
Treasury prices for the 10-year note gained a bit, lowering yields to 2.35% from Tuesday’s 2.39%. Treasury prices and yields move in opposite directions.
Oil prices dropped 45 cents to $50.48 U.S. a barrel
Gold prices recovered $10.30 to $1,180.40 U.S. an ounce.
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