Markets in Toronto burst from the blocks Tuesday, mirroring their American cousins, as investors took cheer after top officials in the European Central Bank and the Bank of Japan pledged their support for continued monetary easing.
The S&P/TSX composite index climbed 69.56 points to begin Tuesday at 12,765.93
The Canadian dollar shed 0.05 cents to 96.66 cents U.S.
Industrial stocks were among the biggest winners, with Canadian Pacific Railway chugging along 3% to $140.94. Bombardier also prospered, gaining 1.5% to $4.70.
Bank of Nova Scotia said that quarterly profit rose 9.6%, as domestic retail banking income was helped by last year's acquisition of online lender ING Direct. Scotiabank shares dipped, however, 42 cents to $59.19
Valeant Pharmaceuticals International said that the U.S. Food and Drug Administration denied approval for its drug to treat onychomycosis, a fungal infection of the nail. The regulator raised questions about manufacturing and controls related to the drug's container in a complete response letter to the company.
Rating agency Susquehanna raised the target price on Valeant to $105 from $84, saying the acquisition of Bausch & Lomb makes sense and the financial parameters seem better than expected. Valeant shares spiked 72 cents to $96.57.
RBC raised the target price on Kinross Gold Corp. to $8 from $7 to reflect that the miner should continue to outperform due to continued optimization of existing mines. Kinross shares eased 20 cents to $5.82.
There was no economic news out today.
ON BAYSTREET
The TSX Venture Exchange gained 5.82 points to 954.43
All but three of the 14 Toronto subgroups were higher at the outset, led by industrials, gaining 1.4%, energy, surging 1%, and consumer discretionary stocks, adding 0.9%.
The three laggards were gold, down 1.1%, materials, sliding 0.5%, and information technology, ticking 0.3% lower.
ON WALLSTREET
U.S. stocks surged Tuesday, following a strong housing report.
The Dow Jones Industrials vaulted 210.34 points, or 1.4%, to begin a short week at 15,513.40
Today marks the 20th consecutive Tuesday that the Dow has inked gains. Markets in the States were shuttered Monday for Memorial Day.
The S&P 500 index grew 22.82 points to 1,672.42. The tech-rich NASDAQ Composite spiked 53.87 points to 3,513.01
In corporate news, Tiffany reported better-than-expected earnings but lowered its revenue outlook.
Valeant Pharmaceuticals said Monday it was buying eye care specialist Bausch & Lomb from private equity firm Warburg Pincus. U.S. shares of Valeant, Canada's largest drug maker, rose 12%.
Shares of the electric car maker Tesla, backed by billionaire Elon Musk, rose more than 4%, topping $100.
In economic news, S&P/Case-Shiller reported that housing prices rose a better-than-expected 10.2% during the first quarter -- the strongest jump since 2007.
Prices for the 10-year U.S. Treasury sagged, powering yields to 2.08% from Friday’s 2.01%. Treasury prices and yields move in opposite directions.
Oil prices gushed $1.47 to $95.62 U.S. a barrel.
Gold prices shed $6.30 at $1,380.30 U.S. an ounce
