Canadian stocks rose, rebounding from the biggest drop in a month yesterday, as Corus Entertainment Inc. (CJR/B) posted higher-than-estimated profit and Bank of America Corp. advised buying Thompson Creek Metals Co. shares.
Corus Entertainment, which operates television stations, climbed 4.1 percent. Thompson Creek surged 21 percent after Bank of America raised its rating on the stock to buy from underperform. Canexus Corp., a chemical maker, sank 12 percent after saying costs for a train expansion will be about 40 percent higher than previous forecasts. Pinecrest Energy Inc. plunged 39 percent after production in December fell short of previous guidance.
The Standard & Poor’s/TSX Composite Index (SPTSX) rose 48.31 points, or 0.4 percent, to 13,729.79 at 10:10 a.m. in Toronto.
“Canadian equities have more elbow room, with current valuations not as stretched as those stateside,” said Avery Shenfeld, chief economist with CIBC World Markets, in a note to clients. “The TSX has outperformed the S&P in each of the last six years in which global growth has topped 4 percent, and 2014 should add to that streak.”
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