TSX, loonie soar as oil prices rebound

TORONTO -- The Toronto stock market was solidly ahead Wednesday while the Canadian dollar soared more than a penny against its U.S.

See Full Article

counterpart as the rollercoaster ride in oil prices continued.

In late-day trading, the loonie was up 1.24 U.S. cents at 72.53 cents US amid general weakness in the greenback against most major currencies and a big rebound in oil prices after two days of heavy losses.

The last time the loonie closed up more than a cent was on Jan. 21, when it gained 1.02 cents, although it almost managed that feat again on Jan. 26, closing up 0.97 of U.S. cent.

Meanwhile, the Toronto Stock Exchange's S&P/TSX composite index added to gains throughout the day and was ahead 141.75 points at 12,584.01 after triple-digit loses the two previous days totalling almost 380 points or three per cent.

In New York, markets were mixed, with the Dow Jones industrial average rebounding sharply from early losses to post a 182.64-point advance to 16,336.18. The broader S&P 500 also shed earlier losses to rise 9.57 points to 1,912.60, while the Nasdaq remained slightly in the red, down 7.64 points at 4,509.31.

Commodities strengthened, with the March contract for benchmark crude oil up $2.41 at US$32.29 a barrel after having fallen $3.74 a barrel over the two previous sessions.

Meanwhile, March natural gas added a penny to US$2.04 per mmBtu, while April gold rose $13.30 to US$1,140.50 a troy ounce and March copper jumped four cents to US$2.10 a pound.

The big bounce in oil prices came despite a report from the U.S. Energy Information Administration showing American commercial crude inventories increase by 7.8 million barrels last week, almost double the four-million-barrel gain forecast by analysts.

At almost 503 million barrels, U.S. crude inventories remain at levels not seen at this time of year in a least 80 years, the EIA said.

In retail news, U.S. home improvement giant Lowe's has made a friendly $3.2 billion takeover offer for Quebec-base Rona Inc. (TSX:RON) that has the support of Rona management and the Caisse de depot, which owns about 17 per cent of the company.

Rona stock was up $11.55 or 98.09 per cent at $23.32 in massive trading of more than 16 million shares.



Advertisements

Latest Economic News

  • Federal Reserve boss tells Congress to get its house in order: Don Pittis

    Economic CBC News
    The world's most powerful central banker, U.S. Fed chair Jerome Powell, says strong inflation and low unemployment mean the country's economic boom is set to continue. But when grilled yesterday by members of the Senate banking committee about the economic risks of trade wars and stagnating wages for the poorest Americans, he returned fire. Source
  • Forget successes, F--kup Nights highlight the business lessons of failure

    Economic CBC News
    A surprising speaker series that's become a global phenomenon is taking root in Canada. The series, provocatively named F--kup Nights (they don't use dashes), focuses on business and entrepreneurship. It involves people sharing stories in front of a crowd of strangers about making mistakes at work. Source
  • Sobeys to sell refugee chocolatier's bars and boxes nationwide

    Economic CTV News
    A chocolate company founded by a Syrian refugee family in Antigonish, N.S. will soon be selling its products nationwide through Sobeys. After the Hadhad family’s Damascus chocolate factory was destroyed in a 2012 bombing, they fled to Lebanon where they spent three years in a refugee camp. Source
  • Alberta appeals court ruling ordering province to pay $2M over beer subsidy

    Economic CTV News
    EDMONTON -- Alberta has served notice it will appeal a court ruling ordering the province to pay just over $2 million to two out-of-province breweries over a disputed beer subsidy. The government filed the notice in Court of Queen's Bench on Monday. Source
  • Twitter suspended 58 million accounts in fourth quarter

    Economic CBC News
    Twitter suspended at least 58 million user accounts in the final three months of 2017, according to data obtained by The Associated Press. The figure highlights the company's newly aggressive stance against malicious or suspicious accounts in the wake of Russian disinformation efforts during the 2016 U.S. Source
  • Owner of Las Vegas casino where shooter stayed sues survivors of gun massacre

    Economic CBC News
    MGM Resorts International has sued hundreds of victims of the deadliest mass shooting in modern U.S. history in a bid to avoid liability for the gunfire that rained down from its Mandalay Bay casino-resort in Las Vegas. Source
  • Owner of Las Vegas casino sues survivors of gun massacre

    Economic CBC News
    MGM Resorts International has sued hundreds of victims of the deadliest mass shooting in modern U.S. history in a bid to avoid liability for the gunfire that rained down from its Mandalay Bay casino-resort in Las Vegas. Source
  • NAACP lifts travel advisory against American Airlines

    Economic CTV News
    WASHINGTON -- The NAACP is lifting its travel advisory against American Airlines, saying the company is making improvements that address worries about African-Americans being subject to discrimination or even unsafe conditions while flying. NAACP President Derrick Johnson made the announcement at the NAACP's national convention in San Antonio, Texas. Source
  • A founder of WestJet and JetBlue commits to order 60 A220s for new U.S. airline

    Economic CBC News
    David Neeleman, one of the founders of WestJet Airlines Ltd. and JetBlue Airways Corp., has committed to buy 60 Airbus A220-300 aircraft for a new U.S. airline he's launching. A memorandum of understanding for the aircraft which was developed by Bombardier Inc. Source
  • Netflix shares plunge as streaming company sees 'hiccup' in subscriber growth

    Economic CBC News
    Netflix stocks fell more than 14 per cent Tuesday after the company announced it added fewer subscribers in the second quarter than analysts were expecting. The company also downgraded its expectations for the third quarter, but analysts are calling the results a hiccup and say the company remains a compelling investment opportunity in the long run. Source