The Toronto Stock Exchange's main index ended sharply higher yesterday as shares of energy companies rose along with the price of oil, while takeover talk in the aluminum industry boosted Alcan Inc. (AL/TSX) and mining stocks.
The Toronto Stock Exchange S&P/TSX composite index closed up 131.22 points, or 1 percent, at 13,171.76.
"The market, after a few days of a tough period, was looking for an excuse to be a little bit buoyant," said Michael Sprung, president at Sprung & Co. Investment Counsel.
"Perhaps we saw a lot of the cash that was sitting on the sidelines begin to come into the market." Among oil shares, EnCana Corp. (ECA/ TSX) jumped $1.25, or 2.2%, to $57.34, while Suncor Energy (SU/TSX) rose $2.16, or 2.6%, to $86.59.
"The supply-demand situation continues to be tight and even a slight increase in global demand can have a positive effect on crude oil prices, and that's precisely what's happening today," said Elvis Picardo, chief market strategist at Global Securities Corp., in Vancouver.
All but two of the TSX index's 10 main groups were higher, with the heavyweight materials sector up 2.1%. The consumer discretionary and utilities groups lost ground.
Aluminum producer Alcan rose $2.65, or 4.3%, to $63.90 on a report that rival producer Alcoa Inc. (AA/NYSE) may be the target of a takeover attempt. Shares of base metals miner Teck Cominco (TCK.b/TSX) rose $3.77, or 4.6%, to $86.45 after it reported sharply higher fourth-quarter earnings after the bell on Monday and said it would buy back up to 20 million of its class B shares.
No comments:
Post a Comment