Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

Canadian Stocks Gain After European Leaders Pledge to Aid Banks

Canadian stocks rose, led by energy companies and banks, in the first day of trading since the leaders of France and Germany said they will have a response to Europe’s bank crisis by the end of the month.

Oil and gas producer Daylight Energy Ltd. soared 110 percent after agreeing to be bought by China Petrochemical Corp. Royal Bank of Canada, the country’s largest lender by assets, gained 1.4 percent after German Chancellor Angela Merkel said European leaders will do “everything necessary” to ensure banks have adequate capital. Potash Corp. of Saskatchewan Inc. advanced 6.6 percent after Barron’s said agriculture companies may benefit from rising food demand.

The Standard & Poor’s/TSX Composite Index increased 287.19 points, or 2.5 percent, to 11,875.55. Ninety-one percent of S&P/TSX stocks climbed. Canadian markets were closed yesterday for the country’s Thanksgiving holiday.

“The hope is the Europeans are going to get their act together,” David Cockfield, a money manager at Northland Wealth Management in Toronto, said in a telephone interview. The firm oversees C$225 million ($219 million). “They seem to be moving toward some kind of accommodation of the Greek problem. That’s encouraged everybody.”

The S&P/TSX dropped 18 percent in the six months ending Oct. 7 as world equities declined on concern the European sovereign debt crisis may threaten banks and the global economy may enter a recession. The MSCI World Index climbed 2.7 percent yesterday, a day after the pledge from Merkel and French President Nicolas Sarkozy.

Energy Companies

Energy stocks in the S&P/TSX climbed 3.1 percent as crude oil rose for a fifth day on the New York Mercantile Exchange. Daylight Energy surged 110 percent to C$9.64 after agreeing to a C$10.08-a-share takeover offer from the Chinese state-owned company known as Sinopec Group.

NAL Energy Corp., which, like Daylight Energy, produces natural gas in western Canada, soared 15 percent, the most since October 2008, to C$7.61. Advantage Oil & Gas Ltd., which is developing a natural gas project in Alberta, rallied 8.5 percent, the most since July 2009, to C$4.49. Athabasca Oil Sands Corp., PetroChina Co.’s parter in oil-sands development, advanced 8.2 percent, the most since its April 2010 initial public offering, to C$11.65.

Trican Well Service Ltd., the country’s biggest oilfield-services company, increased 7.1 percent to C$17.06 after New Orleans-based Superior Energy Services Inc. agreed to buy Houston-based Complete Production Services Inc. for about $2.6 billion in cash and stock.

Suncor Gains

Among other energy companies, Suncor Energy Inc., Canada’s largest oil and gas producer, gained 2.8 percent to C$28.85. Canadian Natural Resources Ltd., the country’s second-biggest energy company by market value, advanced 3.3 percent to C$31.21.

PetroFrontier Corp., which explores for oil in Australia, plunged 25 percent to C$1.68 after reporting drilling delays due to an “unexpected fault.” The shares tumbled the most since they began trading in July 2010.

All S&P/TSX banks and seven of eight insurance stocks rose. Royal Bank gained 1.4 percent to C$47.95. Bank of Nova Scotia, Canada’s third-largest lender by assets, advanced 1.8 percent to C$52.72. Manulife Financial Corp., North America’s fourth-biggest insurer, increased 4 percent to C$12.36.

Potash Corp. and Agrium Inc. advanced after Barron’s said they may be undervalued. Lars Kjellberg, an analyst at Credit Suisse Group AG, told clients in a note that shares of industry companies “look highly compelling.”

Largest Producer

Potash Corp., the world’s largest fertilizer producer by market value, increased 6.6 percent to C$49.44. Agrium Inc., a fertilizer producer and farm retailer, climbed 5.7 percent, the most in a year, to C$75.19.

Other raw-materials producers rose a day after the U.S. Dollar Index, which measures the currency against six major peers, lost 1.6 percent, the most since May 2009. Teck Resources Ltd., Canada’s biggest base-metals and coal producer, gained 4.9 percent to C$35.29. Barrick Gold Corp., the world’s largest gold producer, advanced 1.8 percent to C$49.32 as the metal touched a two-week high.

Gold company Banro Corp. surged 9.4 percent to C$4.54 after saying production has begun at its Twangiza mine in the Democratic Republic of Congo.

B2Gold Corp., which explores in Latin America, decreased 5.2 percent to C$3.30 after saying it will buy Auryx Gold Corp., the operator of a mine in Namibia. The companies valued the cash-and-stock offer at about C$160 million.

Exploration Orbite VSPA Inc., which is developing an alumina project in Quebec and extraction technology, climbed 21 percent to C$2.43 after saying it has increased production.

Power producer Western Wind Energy Corp. jumped 58 percent, the most in 10 years, to C$2.10 after saying it received an unsolicited takeover offer of C$2.50 a share from Algonquin Power & Utilities Corp. Western Wind called the bid “extremely low-ball” in a statement.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.