Canada Stocks Rise a Third Day as Commodities Producers AdvanceEric Lam
Canadian stocks rose a third day, to the highest in almost three weeks, as commodities producers rallied with bank shares amid data showing the U.S. economy shrank less than expected on bigger gains in consumer spending.
First Quantum Minerals Ltd. climbed 3 percent to pace gains among raw-materials producers. Surge Energy Inc. added 4.6 percent as energy producers advanced a third day. Financial services providers increased 0.4 percent as a group.
The Standard & Poor’s/TSX Composite Index rose 42.60 points, or 0.3 percent, to 14,947.51 at 4 p.m. in Toronto. The gauge has rallied 2 percent in three days since almost erasing its 2015 advance on Friday.
The U.S. economy shrank 0.2 percent in the first quarter, revised from a previously reported 0.7 percent drop, aided by a bigger gain in consumer spending after rebounding from a harsh winter. The U.S. is Canada’s largest trading partner.
Investors are also monitoring the situation in Europe. Germany downplayed the chances of an imminent deal with Greece as Prime Minister Alexis Tsipras’s government rejected the latest terms set by creditors. Tsipras met in Brussels Wednesday with the heads of the three creditor institutions.
Six of 10 industries in the S&P/TSX advanced on trading volume 2.5 percent below the 30-day average. Suncor Energy Inc. climbed 2.6 percent as energy stocks climbed 0.8 percent as a group.
Teck Resources Ltd. increased 0.7 percent and Lundin Mining Corp. rose 3.2 percent. Copper futures in New York have rallied 2.1 percent in two days, the biggest two-day advance in seven weeks. The Chinese government took steps to expand credit in an effort to support long-term economic growth. China is the world’s top consumer of industrial metal and Canada’s second-largest trading partner.