Equities in Toronto edged higher on Tuesday, led by gains in the heavyweight energy sector after U.S. crude oil rallied, while Valeant Pharmaceuticals International built on Monday's sharp rebound.
The S&P/TSX composite index climbed 48 points to begin Tuesday at 13,671.01
The Canadian dollar settled 0.31 cents at 76.04 cents U.S.
WestJet Airlines reported a 95% rise in quarterly profit, helped by lower fuel costs. Net earnings rose to $101.8 million, or 82 cents per share, in the third quarter from $52.2 million, or 40 cents per share, a year earlier. Revenue rose 3.5% to $1.05 billion.
WestJet shares gained 21 cents to $24.50 to begin Tuesday trade.
Royal Bank of Canada said its $5-billion deal to buy Los Angeles-based City National Corp gives it the option to evaluate other U.S. acquisitions over the medium to long term, its top executive said on Monday. However, the country's most valuable company is currently focused on organic growth and not looking for deals in the short term.
Shares in Canada’s largest bank hiked 87 cents, or 1.2%, to $75.50.
TransCanada Corp., the company behind the proposed Keystone XL pipeline on Monday asked the U.S. government to suspend review of the $8-billion project that sparked a political war between environmentalists and the oil industry, a move that could put its fate in the hands of the next U.S. president.
TransCanada shares were static at $44.22.
Valeant, for its part, sought to reassure doctors on Monday that its decision to cut ties to a controversial specialty pharmacy would not disrupt doctors' ability to prescribe the company's drugs to patients. Its shares took on 77 cents to $132.65.
CIBC cut the price target on Avigilon Corp. to $20.00 from $21.00 ahead of the company’s third-quarter results, believing the share price represents good value for investors at these price levels.
Avigilon shares dipped four cents to $14.39.
CIBC also cut the price target on Liquor Stores NA Ltd. to $13.50 from $14.50, expecting economic weakness in resource-based markets to continue to put pressure on the company’s third-quarter results.
Liquor Stores shares sank six cents to $12.17.
ON BAYSTREET
The TSX Venture Exchange inched up 2.15 points to 541.74.
Seven of the 13 TSX subgroups were lower in the first hour, as gold lost 1.6%, real-estate 0.5%, and telecoms 0.4%.
The half-dozen gainers were led by energy, gushing 2.6%, while metals and mining stocks prospered 1%, and consumer staples gained 0.3%.
ON WALLSTREET
U.S. stocks traded narrowly mixed Tuesday, attempting to hold most of November's gains so far, as investors awaited key economic reports and Fed speakers later in the week.
The Dow Jones industrial average poked up 8.01 points to 17,836.77, with Chevron contributing the most to gains. The index traded in the green for 2015 after closing there Monday.
The S&P 500 reversed 4.89 points to 2,099.16, after clearing the 2,100-point mark Monday for the first time since August
The NASDAQ index faded 13.5 points to 5,113.65, as biotech stocks declined. Apple attempted slight gains.
StanChart announced plans on Tuesday to raise $5.1 billion U.S. in new capital via a rights offer and scrapped its dividend as CEO Bill Winters takes drastic action after swinging to an unexpected loss in the third quarter. Shares of the bank tanked over 9% after the news.
New orders for U.S. factory goods fell 1% in September, a second-straight month of decline, as the manufacturing sector continues to struggle under the weight of a strong dollar and deep spending cuts by energy companies.
Auto sales for October are due throughout the day.
Prices for 10-year U.S. Treasuries dipped, kicking up yields to 2.20% from Monday’s 2.18%. Treasury prices and yields move in opposite directions.
Oil prices surged 94 cents a barrel to $47.08 U.S.
Gold prices slid $9.45 to $1,124.39 U.S. an ounce.
