Canada Stocks Rise, Extend High as Materials Stocks GainGerrit De Vynck
Canadian stocks rose for a fourth day, extending a record high, as raw-materials companies advanced on rising copper and gold prices.
Centerra Gold Inc. surged 12 percent as gold mining producers helped lead the benchmark index higher. BlackBerry Ltd. added 4.9 percent. Valeant dropped 2.3 percent as regulators rejected a drug being developed by Allergan Inc., which Valeant is trying to buy.
The Standard & Poor’s/TSX Composite Index rose 51.76 points, or 0.3 percent, to 15,146.01 at 4 p.m. in Toronto.
The gauge is up 11 percent in the first half of the year, the second-best performance among the world’s 15 largest markets. Trading volume was 27 percent lower compared with the 30-day average. The market is closed tomorrow for a national holiday.
“You’ve got the July Fourth weekend upcoming as well, Canada Day tomorrow, there’s absolutely zero corporate activity out there,” said Brian Huen, managing partner at Red Sky Capital Management Ltd in Toronto. He helps manage about C$350 million ($330 million).
Gross domestic product increased 0.1 percent in April, the same rate as in March, according to Statistics Canada. The average prediction among economists surveyed by Bloomberg was growth of 0.2 percent.
Teck Resources Ltd., Canada’s largest diversified miner, rose 2.1 percent to C$24.37 and First Quantum Minerals ltd. added 1.3 percent to C$22.82 as copper posted the biggest quarterly gain since September on signs of rising demand in the U.S. housing market.
Centerra Gold jumped 12 percent to C$6.73 and Alacer Gold Corp. surged 7.2 percent to C$2.83 as gold prices advanced, erasing an earlier decline.
BlackBerry rallied 4.9 percent to C$10.94, the highest level since March 7. Shares of the struggling smartphone maker have jumped 32 percent this month, the most since January, after the company reported a narrower loss in the fiscal first quarter than analysts had estimated.
Valeant Pharmaceuticals International Inc. fell 2.3 percent to C$134.94 after the U.S. Food and Drug Administration rejected Allergan’s inhalable migraine drug because of problems with its delivery device.
Ballard Power Systems Inc. rose 0.9 percent to C$4.41 after signing a deal to license its technology to M-Field Energy Corp.