Canadian Stocks Extend Longest Rally in 10 Years as Gold Rises
Canadian stocks rose a ninth day, the longest streak in a decade, as gains in gold companies offset weaker-than-forecast data on U.S. and Canadian manufacturing.
OceanaGold Corp. and Detour Gold Corp. rallied more than 7.1 percent as gold mining companies accounted for seven of the top 10 gains in the Standard & Poor’s/TSX Composite Index. (SPTSX) Just Energy Group Inc. jumped 9.2 percent after reporting third-quarter earnings ahead of estimates as it added customers. Bombardier Inc. (BBD/B) rose 0.8 percent after securing 17 aircraft orders from the Singapore Air Show, rebounding from a one-year low. Silvercorp Metals Inc. plunged 11 percent after slashing its dividend.
The S&P/TSX rose 23.16 points, or 0.2 percent, to 14,024.81 at 9:55 a.m. in Toronto. The benchmark equity gauge had jumped 3.8 percent in the eight days before today for the longest rally since November 2003 and is trading at its highest level since May 2011. Canadian markets will be closed on Feb. 17 for the Family Day holiday in Toronto.
Canadian factory sales unexpectedly declined 0.9 percent to C$49.9 billion ($45.5 billion) in December, led by slumping sales in aerospace products and motor vehicles. The median estimate of 17 economists was for little change to the measure, according to data compiled by Bloomberg.
Federal Reserve figures showed U.S. factory production slumped 0.8 percent in January, the most since May 2009, amid severe winter weather conditions. Median estimates had called for a 0.1 percent advance.
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