Canadian shares advanced for the 10th day in 11 today as energy producers rallied following higher oil prices fueled by the increasing tensions in Iraq.
The Standard & Poor’s/TSX Composite Index (TSE:OSPTX) rose 0.7 percent to 15,009.63 at 12:56 p.m. in Toronto. Six out the 10 main industries advanced.
Iraq's most senior Shi'ite cleric urged his followers today to take up arms to defend themselves against a relentless advance by Sunni militants, in a sharp escalation of a conflict that is threatening civil war and the potential break-up of the country.
The energy sector, the main index's second most heavily weighted group, picked up 1.5 percent as oil, Canada’s largest export, headed for its biggest weekly gains thanks to the Iraq unrest.
Suncor Energy Inc. (TSE:SU), the nation's largest energy company by market value, gained 1.8 percent to C$46.25. Enbridge Inc. (TSE:ENB), Canada's largest pipeline company, edged up 0.9 percent to C$51.23.
Crescent Point Energy Corp. (TSE:CPG), a light oil producer, gained 2.8 percent to C$46.82 after agreeing to acquire assets in the Viking oil play in Saskatchewan for cash and stock worth about C$334 million. The assets produce more than 2,800 barrels of oil equivalent a day, it said. The company also raised its annual guidance for production and cash flow.
Long Run Exploration Ltd. (TSE:LRE), an intermediate oil and natural gas company focused on the Western Canadian Basin, fell 2.5 percent to C$5.49. The company plans to acquire Crocotta Energy Inc. (TSE:CTA) for C$242 million. Including the assumption of about C$115 million of debt, the transaction is valued at about C$357 million.
West Texas Intermediate for July delivery rose 0.4 percent to $106.91 a barrel at 12:44 p.m. on the New York Mercantile Exchange, extending the weekly gain to 4.1 percent.
Financials, the index's most heavily weighted sector, added 0.5 percent. Royal Bank of Canada (TSE:RY), the company with the highest weighting in the index, surged 1.1 percent to C$75.49. Bank of Nova Scotia (TSE:BNS), the third-largest lender, gained 0.6 percent to C$70.85.
Raw-material shares lost 0.4 percent on lower gold prices. Goldcorp Inc. (TSE:G) slid 0.4 percent to C$27.12.
Pilot Gold Inc. (TSE:PLG) slipped 4.9 percent to C$1.55 after saying it would buy Cadillac at a 121 percent premium to its closing price on June 12. Cadillac, which trades on the TSX Venture Exchange, more than doubled to 20 Canadian cents.
Gold futures for August delivery fell less than 0.1 percent to $1,273.70 an ounce at 11:26 a.m. on the Comex in New York.
Amaya Gaming Group Inc. (TSE:AYA), a maker of gambling equipment and systems, surged 40 percent to C$19.74 after saying it will buy privately held Oldford Group Ltd., the parent company of Rational Group Ltd., the owner of PokerStars and Full Tilt Poker brands, for $4.9 billion in an all-cash deal. The deal will create the world's largest publicly traded online gaming company.
The junior S&P/TSX Venture Composite Index (CVE:OSPVX) lost 0.2 percent to 995.53 at 12:55 p.m. in Toronto. Spartan Energy Corp. (CVE:SPE), the heaviest stock in the gauge, was little changed at C$4.17.
In economic news, Canadian factory sales posted a surprise decline in April, the first drop in four months. Statistics Canada said sales fell 0.1 percent to C$50.9 billion. Economists polled by Bloomberg forecast a rise of 0.5 percent.
In the U.S. market, shares advanced as a rally in Intel Corp. and corporate deals neutralized worries that violence in Iraq will disrupt oil supplies. The S&P 500 (INDEXSP:.INX), the 30-company Dow Jones Industrial Average (INDEXDJX:.DJI), and the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) each gained 0.2 percent at 12:14 p.m. in New York. Most followed shares also included Express, Priceline Group, Finisar, Vivus, Citigroup, TD Ameritrade, Teva Pharmaceutical Industries, General Motors, and Capstone Turbine. Reported by Proactive Investors 24 minutes ago.
The Standard & Poor’s/TSX Composite Index (TSE:OSPTX) rose 0.7 percent to 15,009.63 at 12:56 p.m. in Toronto. Six out the 10 main industries advanced.
Iraq's most senior Shi'ite cleric urged his followers today to take up arms to defend themselves against a relentless advance by Sunni militants, in a sharp escalation of a conflict that is threatening civil war and the potential break-up of the country.
The energy sector, the main index's second most heavily weighted group, picked up 1.5 percent as oil, Canada’s largest export, headed for its biggest weekly gains thanks to the Iraq unrest.
Suncor Energy Inc. (TSE:SU), the nation's largest energy company by market value, gained 1.8 percent to C$46.25. Enbridge Inc. (TSE:ENB), Canada's largest pipeline company, edged up 0.9 percent to C$51.23.
Crescent Point Energy Corp. (TSE:CPG), a light oil producer, gained 2.8 percent to C$46.82 after agreeing to acquire assets in the Viking oil play in Saskatchewan for cash and stock worth about C$334 million. The assets produce more than 2,800 barrels of oil equivalent a day, it said. The company also raised its annual guidance for production and cash flow.
Long Run Exploration Ltd. (TSE:LRE), an intermediate oil and natural gas company focused on the Western Canadian Basin, fell 2.5 percent to C$5.49. The company plans to acquire Crocotta Energy Inc. (TSE:CTA) for C$242 million. Including the assumption of about C$115 million of debt, the transaction is valued at about C$357 million.
West Texas Intermediate for July delivery rose 0.4 percent to $106.91 a barrel at 12:44 p.m. on the New York Mercantile Exchange, extending the weekly gain to 4.1 percent.
Financials, the index's most heavily weighted sector, added 0.5 percent. Royal Bank of Canada (TSE:RY), the company with the highest weighting in the index, surged 1.1 percent to C$75.49. Bank of Nova Scotia (TSE:BNS), the third-largest lender, gained 0.6 percent to C$70.85.
Raw-material shares lost 0.4 percent on lower gold prices. Goldcorp Inc. (TSE:G) slid 0.4 percent to C$27.12.
Pilot Gold Inc. (TSE:PLG) slipped 4.9 percent to C$1.55 after saying it would buy Cadillac at a 121 percent premium to its closing price on June 12. Cadillac, which trades on the TSX Venture Exchange, more than doubled to 20 Canadian cents.
Gold futures for August delivery fell less than 0.1 percent to $1,273.70 an ounce at 11:26 a.m. on the Comex in New York.
Amaya Gaming Group Inc. (TSE:AYA), a maker of gambling equipment and systems, surged 40 percent to C$19.74 after saying it will buy privately held Oldford Group Ltd., the parent company of Rational Group Ltd., the owner of PokerStars and Full Tilt Poker brands, for $4.9 billion in an all-cash deal. The deal will create the world's largest publicly traded online gaming company.
The junior S&P/TSX Venture Composite Index (CVE:OSPVX) lost 0.2 percent to 995.53 at 12:55 p.m. in Toronto. Spartan Energy Corp. (CVE:SPE), the heaviest stock in the gauge, was little changed at C$4.17.
In economic news, Canadian factory sales posted a surprise decline in April, the first drop in four months. Statistics Canada said sales fell 0.1 percent to C$50.9 billion. Economists polled by Bloomberg forecast a rise of 0.5 percent.
In the U.S. market, shares advanced as a rally in Intel Corp. and corporate deals neutralized worries that violence in Iraq will disrupt oil supplies. The S&P 500 (INDEXSP:.INX), the 30-company Dow Jones Industrial Average (INDEXDJX:.DJI), and the tech-heavy Nasdaq Composite (INDEXNASDAQ:.IXIC) each gained 0.2 percent at 12:14 p.m. in New York. Most followed shares also included Express, Priceline Group, Finisar, Vivus, Citigroup, TD Ameritrade, Teva Pharmaceutical Industries, General Motors, and Capstone Turbine. Reported by Proactive Investors 24 minutes ago.