Canadian Stocks Climb Fifth Day to One-Year High as Banks Rallyby
S&P/TSX ekes out 0.1% gain as six of 10 groups advance
Bank stocks get boost after JPMorgan Chase tops estimates
Canadian stocks rose for a fifth day, extending gains to the highest level in a year, as gains by the nation’s largest lenders offset a decline in miners.
The S&P/TSX Composite Index eked out a 0.1 percent advance to 14,514.52 at 4 p.m. in Toronto, as six of 10 main industries in the benchmark climbed. The index is in its longest rally since March, joining a rebound in equities worldwide amid signs central banks will continue to take unprecedented measures to limit any fallout from the U.K.’s vote to exit the European Union.
Volume on the Canadian benchmark was 19 percent below the 30-day average. The index has gained 1.8 percent this week, on pace for its best advance since April.
Financial companies jumped amid data showing that average prices for new homes in rose in May, the largest monthly increase since 2007. Mortgage insurer Genworth MI Canada Inc. rose 3.3 percent, while Industrial Alliance Insurance and Financial Services Inc. jumped 1.8 percent.
Banks also got a boost after JPMorgan Chase & Co.’s second-quarter results topped estimates. Canadian Western Bank rose a third day, jumping 1.6 percent.
Health-care providers led the benchmark as Valeant Pharmaceuticals International Inc. rebounded from a 7 percent rout Wednesday sparked by comments from a short seller. Concordia International Corp. and Chartwell Retirement Residences also gained.
The industrial sector climbed for a fifth day with Canadian Pacific Railway Ltd. posting its longest winning streak since April.
Utilities fell the most in the S&P/TSX with Capital Power Corp. leading losses, while gold miners in the gauge sank 0.8 percent.