Optimism that BlackBerry’s new Z10 smartphone will make a big splash in the U.S. helped push the Toronto stock market slightly higher Monday.
The S&P/TSX composite index acquired 22.86 points to close at 12,858.47
The Canadian dollar nipped up 0.20 cents at 97.43 cents U.S.
BlackBerry shares ran up $1.86 or 13.9% to $15.29 amid news that the company’s new Z10 smartphone will go on sale in the U.S. on March 22 through AT&T.
The Z10 has already launched in Canada and the U.K. to date. But a success in the U.S. smartphone market is considered key to the new BlackBerrys.
May copper shook off early declines to close a cent higher at $3.52 U.S. a pound. The base metals also recovered early losses and was little changed mid-afternoon.
Inmet Mining Corp. is the target of a $5.1-billion hostile takeover offer from First Quantum Minerals Ltd., which has said its offer of stock and cash worth about $72 per share will expire later Monday. Toronto-based Inmet has recommended that shareholders reject First Quantum’s bid, although it hasn’t produced a superior offer. Inmet shares rose 11 cents to $68.63 while First Quantum was 22 cents higher at $20.64.
The energy sector also moved into positive territory, as Suncor Energy gained 13 cents at $31.58.
The gold sector was down as Goldcorp faded 33 cents to $33.23.
The board of Aurizon Mines Ltd. has adopted a new shareholder rights plan, saying it wants to prevent Alamos Gold Inc. from using its voting power to defeat a better takeover offer from a rival company. Alamos already owns 16% of Aurizon and has offered to buy up the rest of its stock.
Aurizon’s board is supporting a rival offer from Hecla Mining Co. and said Monday that its new rights plan will ensure all shareholders are treated equally. Alamos shares took on two cents at $14.56 while Aurizon shares were four cents lower at $4.51.
Consumer staples stocks also weighed on the TSX as Maple Leaf Foods gave back 59 cents to $12.91.
In other corporate news, Clearwater Seafoods Inc. shares rose 12 cents to $5.09 as it reported quarterly net income of $10.5 million or 17 cents a basic share, down from $16.4 million a year ago. It also posted record revenues of $350.4 million for all of 2012.
Data over the weekend showed China’s economy slowing at the beginning of the year. Industrial production was up 9.9% year over year in January while retail sales rose 12.3% in February. Both figures were below expectations and weaker than the previous month.
Elsewhere, Italy's economy contracted by 0.9% in the fourth quarter of last year, in line with a preliminary estimate, and gross domestic product was down a revised 2.8% year-on-year, data showed.
No data is on the economic docket for Monday.
ON BAYSTREET
The TSX Venture Exchange remained negative 1.58 points to 1,116.27
Eight of the 14 Toronto subgroups were higher by the close, led by information technology, vaulting 3.5%, while utilities picked up 0.8% and energy stocks were 0.3% more energetic.
The half-dozen laggards were weighed mostly by health-care, up 0.8%, while gold and consumer staples each faltered 0.5%.
ON WALLSTREET
U.S. stocks extended last week's record-setting rally Monday as hopes that lawmakers would pass a budget added to the recent enthusiasm.
The Dow Jones Industrials added 50.22 points to 14,447.30, yet another record high.
The S&P 500 index inched up 5.02 points to 1,556.20. The tech-heavy NASDAQ Composite gained 8.51 points, to 3,252.87.
The modest advance comes after stocks wrapped up one of the best weeks of the year Friday, with the Dow closing at a record high for the fourth straight day. The S&P is only 0.6% away from its all-time closing high.
Wal-Mart warned last month that its February sales had been softer than expected.
On the corporate front Monday, shares of Dick's Sporting Goods ell more than 10% after the retailer reported earnings and sales that fell short of forecasts. The company also said it expected a sharp slowdown in same-store sales for the first quarter.
Shares of BlackBerry rallied more than 12% as enthusiasm over the upcoming debut of its latest smartphone, the Z10, grew. AT&T said it would begin preorders on Tuesday.
Billionaire investor Carl Icahn signed a confidentiality agreement with Dell o review the PC maker's financial information, a move that could head off a showdown over Michael Dell's buyout.
Shares of Genworth Financial rose 6% after an article in Barron's called the stock undervalued.
Economically speaking, this week's main focus will be on retail sales, as investors look for further signs of economic strength.
The numbers, due out Wednesday, will be even more closely watched than normal as investors are keen to see whether the increased payroll tax, delayed tax refunds and higher gas prices have caused consumers to pull back. February sales are expected to have risen 0.5%, according to economists.
Prices on the 10-year U.S. Treasury lost in the afternoon the ground it gained in the morning, raising yields back to Friday’s 2.06%. Treasury prices and yields move in opposite directions.
Oil prices poked up six cents to $91.91 U.S. a barrel.
Gold prices gained $2.10 to $1,577.70 U.S. an ounce.
