Canadian Stocks Post Biggest Gain in 3 Weeks as Commodities Rise

Canadian stocks rallied the most in three weeks as commodity producers climbed on higher oil, gold and copper prices and BlackBerry Ltd. won a patent infringement case.

HudBay Minerals Inc. and Crew Energy Inc. rose at least 3.7 percent to pace gains in the Standard & Poor’s/TSX Composite Index. BlackBerry climbed 0.9 percent after a U.S. judge ruled in favor of the smartphone maker in a case against NXP BV. Newalta Corp. rose 2.9 percent after the recycling company said it hired Royal Bank of Canada to look into options for selling one of its units.

The S&P/TSX added 102.12 points, or 0.7 percent, to 14,372.45 for the biggest advance since March 18. The equity benchmark fell for the previous three days. Mining companies in the index were up 1.2 percent as a group.

“Given the significant drop in gold over the last number of years, I think there’s some renewed interest in both the metal and the equities,” said Anish Chopra, a fund manager at TD Asset Management Inc. in Toronto. He helps manage around C$218 billion with the firm.

Pretium Resources Inc. and NovaGold Resources Inc. led gains in a measure of Canadian gold shares. Bullion futures rose to the highest level in nearly two weeks after a falling U.S. dollar and pro-Russian demonstrations in eastern Ukraine spurred demand for the precious metal.

Gold Stocks

Investors are returning to gold after a 28 percent plunge last year that was the biggest since 1981. The S&P/TSX Global Gold Index has risen 21 percent since the beginning of the year. The metal is up 8.9 percent this year to $1,309.10 an ounce.

HudBay Minerals, which mines for copper, zinc and gold, rose 3.7 percent to C$8.81. Crew Energy, an oil and natural gas producer, advanced 5.5 percent to C$9.79.

Copper futures advanced 0.4 percent in New York, while zinc prices advanced to a four-week high. West Texas Intermediate crude rose to a one-month high on speculation that inventories at Cushing, Oklahoma, the delivery point for the contract, dropped for a 10th week.

BlackBerry rose 0.9 percent to C$8.70. The company’s turnaround will probably take six to eight quarters, Royal Bank of Canada analyst Mark Sue said in research note.

Titan Medical Inc. fell 6.1 percent to C$2.45. The developer of a robot for surgeries said it would raise C$22.3 million by selling additional shares.

Newalta rose 2.9 percent to C$20.57. The company’s industrial unit may be sold for C$450 million, an analyst at Canadian Imperial Bank of Commerce said in a note.

Before it's here, it's on the Bloomberg Terminal.