Canadian equities traded higher Tuesday, with the benchmark stock index aiming to extend its winning streak to five but with technology stocks bucking the trend, weighed down by losses in shares of Research In Motion Ltd.
The S&P/TSX Composite Index gained 40.10 points to close at 12,332.79
The Canadian dollar nicked ahead 0.14 cents to 101.44 cents U.S.
A rally in energy shares, upbeat U.S. economic data and better-than-expected earnings reports from some Canadian companies provided overall support for stocks in Toronto.
Shares of Suncor Energy Inc. gained 1% to $32.94, after the company’s first-quarter earnings came in ahead of expectations.
Canadian Oil Sands Ltd. shares rose 5.6% to $23.05. The Calgary-based company’s first-quarter earnings edged lower but beat analyst expectations, and its board voted to boost the quarterly dividend by 17%.
Cameco Corp. posted a year-on-year rise in first-quarter revenue and earnings and said its uranium business continued to drive its strong financial performance. Shares rose 2.8% to $22.47.
Bombardier shares traded up 0.5% to $4.20, while WestJet, which reported better-than-expected quarterly earnings, added 2% to $14.52.
Shares of Talisman Energy Inc., however, lost 3.1% to $12.52. The company’s results showed Talisman swinging to a first-quarter profit as it announced plans to sell $1 billion of non-core assets in North America.
Technology lost strength as Research In Motion shares shed 5.8% to $13.31 in Toronto.
ON BAYSTREET
The TSX Venture Exchange picked up 7.64 points to 1,431.68, while Nasdaq Canada sank 6.45 points to 412.41
ON WALLSTREET
U.S. stocks advanced, sending the Dow Jones Industrial Average to the highest level since December 2007, after a better-than-estimated manufacturing report bolstered investors’ optimism in the world’s largest economy.
The Dow Jones Industrials climbed 65.69 points to 13,271.30, while the S&P 500 7.93 points to 1,405.84, and the tech-rich Nasdaq Composite Index added 4.08 to 3,050.44.
Stocks rallied as manufacturing unexpectedly expanded in April at the fastest pace in 10 months. The report added to optimism after data showed growth in Chinese manufacturing.
Investors also watched corporate earnings as about 74% of S&P 500 companies that reported results since April 10 have beaten projections, according to data compiled by Bloomberg.
Today’s gain extended this year’s advance in the S&P 500 to 12%. The index still trades at 14.3 times reported earnings, below the average since 1954 of 16.4. Former Federal Reserve Chairman Alan Greenspan said U.S. stocks offer good value and are likely to rise as earnings increase over time.
Prices for the benchmark 10-year Treasury note ducked down, bringing the yields up to 1.94%. Treasury prices and yields move in opposite directions.
Oil prices jumped $1.11 to $105.98U.S. a barrel.
Gold prices sank $1.90 to $1,662.30 U.S. an ounce.
