TMCnet News
TSX begins week positive(Baystreet Stock Market Update (Canada) Via Acquire Media NewsEdge) Industrial, Material figures in focus The Toronto stock market enjoyed a slightly positive start to trading as investors return to work following the Canada Day holiday and react to a strong U.S. manufacturing report from Friday and higher oil and gold prices. The S&P/TSX Composite Index picked up 18.39 points to 13,319.26 The Canadian dollar slid 0.23 cents to 104.11 cents U.S. American markets are shuttered for the July 4 holiday, but New York indexes ended last week with strong gains after the Institute for Supply Management reported its index for June showed that manufacturing activity unexpectedly picked up. The ISM said its index came in at 55.3, up from 53.5 in May and stronger than the 52 reading that economists expected. The report was particularly good news for investors who saw the TSX end the first half of the year down 1% year to date, partly because of concerns that the U.S. economy had hit a soft patch during the second quarter. Investors have also been discouraged by the European government debt crisis and in particular fears that Greece could end up defaulting on its massive debt. Sentiment last week was also lifted after Greek lawmakers backed austerity measures required from international creditors in return for more bailout cash. But there were fresh concerns Monday after Standard & Poor's warned that a recent French proposal to get banks involved in helping Greece would trigger a default on the country's debt. The S&P warning came a week after French banks said they were ready to help Greece by accepting a significant debt rollover. Germany's banks later said they were also considering helping out on similar terms. On the corporate front, the president and chief executive officer of Sun Life Financial Inc. Donald Stewart, will retire on Nov. 30, the company announced Monday. Stewart, who under company policy will also retire from the Sun Life board, is being replaced as by Dean Connor, currently Sun Life's chief operating officer. Connor has also been appointed to the Sun Life board. Canadian patent house Wi-LAN Inc. said Monday it has settled a lawsuit with Texas Instruments Inc. over Bluetooth technology for an undisclosed amount. Wi-LAN sued Texas Instruments in April 2010 as part of a broader series of suits against several of the world's high-tech heavyweights over allegations of Bluetooth technology infringement. Economically speaking, Statistics Canada reported this morning that its Industrial Product Price Index (IPPI) edged down 0.2% between April and May, while the Raw Materials Price Index (RMPI) fell 5.2% over the same period. The major contributors to the declines were metals in the case of the IPPI and petroleum for the RMPI. ON BAYSTREET The TSX Venture Exchange gained 8.03 points to 1,912.21, while the Nasdaq Canada index moved forward 5.54 points to 560.03 In Toronto, nine of the 14 subgroups surged. Metals and mining stocks led the way, up 1.7%, while information technology issues picked up 1.4%, and health-care stocks improved 0.8%. The five laggards were weighed mostly by gold, off 0.4%, telecoms, down 0.3%, and consumer discretionaries, subsiding 0.1%. ON WALLSTREET U.S. markets were closed for the Fourth of July. They will return to business Tuesday. © 1998 - 2011 Baystreet.ca Media Corp. All rights reserved. |