Canada Stocks Rally as Canadian National Earnings RiseEric Lam
Canadian stocks rose to a record after Canadian National Railway Co. reported better-than-estimated earnings and oil producers advanced.
Canadian National climbed 0.7 percent to extend an all-time high after soaring grain cargoes led to higher profit and cash-flow targets for 2014. Penn West Petroleum Ltd. and Pacific Rubiales Energy Corp. gained more than 4.4 percent to pace gains among energy stocks ahead of a U.S. government report tomorrow that may show crude inventories fell.
The Standard & Poor’s/TSX Composite Index rose 65.14 points, or 0.4 percent, to 15,315.13 at 4 p.m. in Toronto. The equity index has rallied 12 percent this year.
Canadian National added 0.7 percent to a record C$74.36 for an eighth day of gains, the longest winning streak since September. Industrial companies rallied 1.2 percent as a group as eight of 10 industries in the benchmark equity gauge advanced.
HudBay Minerals Inc. jumped 2.8 percent to C$11.21, the highest since February 2013, after TD Securities analyst Greg Barnes raised his rating for the stock to buy from hold. The mining company has climbed 28 percent this year and has nine buys, 10 holds and one sell, according to data compiled by Bloomberg.
Ballard Power Systems Inc. increased 0.5 percent to C$4.46, amid a rally in fuel-cell producers. An affiliate of FuelCell Energy Inc. won 4.9 million euros in awards from the German government to support a research project. FuelCell rose 12 percent in U.S. trading.
Major Drilling Group International Inc., a contract drilling company working in the energy industry, soared 9.8 percent to C$8.76, the biggest gain since September 2012. The company yesterday agreed to buy operations of Taurus Drilling Services for C$27.7 million in cash, shares and debt.
Pretium Resources Inc. sank 7.4 percent, the biggest drop since December, to C$7.85. The gold mining company said it plans to sell shares to raise $60 million to fund environmental and engineering activities at its Brucejack project in British Columbia.