Canada Stocks Fluctuate as Unemployment Rises in MayGerrit De Vynck
Canadian stocks rose a sixth day to the highest level since 2008, as Air Canada rallied and oil producers advanced after U.S. payrolls exceeded their pre-recession peak in a sign the economy is strengthening.
Air Canada rose 5.4 percent after National Bank Financial raised its ratings on the airline. Major Drilling Group International Inc. fell 8.2 percent after missing analyst revenue estimates for the last quarter. Saputo Inc. climbed 3.1 percent to a record.
The Standard & Poor’s/TSX Composite Index gained 38.72 points, or 0.3 percent, to 14,838.90 at 4 p.m. in Toronto for a sixth day of gains, the longest winning streak since February. The benchmark index is 1.6 percent away from an all-time closing high of 15,073.13 on June 18, 2008.
Crude for July delivery rose 0.2 percent in New York, the first increase in three days, after the U.S. Labor Department said the number of jobs grew 217,000 in May, following a 282,000 gain in April, for a fourth straight month employment has increased by more than 200,000.
Lightstream Resources Ltd. added 2.3 percent to C$8.04 and Legacy Oil & Gas Inc. increased 2.1 percent to C$9.09 to pace gains as energy stocks rose 0.3 percent as a group.
Suncor Energy Inc. increased 1.2 percent to C$42.85 as Credit Suisse Securities featured it on a list of Canadian stocks that could benefit if interest rates move.
Air Canada climbed 5.4 percent to C$10.47, the highest close since February 2008. National Bank analyst Cameron Doerksen said in a note Canada’s two biggest airlines will benefit from strengthening fairs for domestic flights. WestJet Airlines Ltd. rose 2.7 percent to C$26.34.
Major Drilling dropped 8.2 percent to C$7.70, the largest drop since April 2013, as it reported fourth-quarter revenue of C$82.6 million, compared to an average analyst estimate of C$90.2 million.
Teck Resources Ltd. fell 1.8 percent to C$23.64 after it said yesterday its Alaska unit would not build a proposed 52-mile pipeline to move wastewater from its Red Dog mine.