Canada Stocks Snap Two-Day Losing Streak as TransGlobe Advances
TransGlobe Energy Corp. jumped 5.7 percent after agreeing to sell itself to Carcal Energy Inc. in a C$696.2 million ($626.9 million) deal. Whitecap Resources Inc. (WCP) climbed 3.6 percent after agreeing to buy western Canada conventional oil and natural gas assets from Imperial Oil Ltd. and raising its dividend. Ensign Energy Services Inc. (ESI) dropped 1.5 percent after reporting lower-than-estimated profit on weaker demand for drilling services.
The Standard & Poor’s/TSX Composite Index (SPTSX) rose 77.22 points, or 0.5 percent, to 14,304.88 at 10:09 a.m. in Toronto. The index has gained about 5 percent this year.
Global equity markets rose after Ukraine’s Crimea voted to return to Russia in a referendum deemed illegal by the U.S. and the European Union. The MSCI World Index rose 0.9 percent for the first increase in seven days. Global stocks lost $1.4 trillion in value last week on investor concern over the conflict between Russia and Ukraine and China’s slowing economy.
Foreign investors bought Canadian stocks and sold government debt in January, Statistics Canada data show. Purchases totaled a net C$1.09 billion, including C$2.84 billion in stock purchases. Non-Canadians also sold a net C$1.42 billion of money-market paper in January and C$330 million of the country’s bonds.
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