Canada’s main stock index rebounded on Monday as energy stocks rose on higher oil prices, while software firm Dye and Durham jumped on a strategic review of its non-core assets.
The TSX Composite collected 118.6 points to move into Monday afternoon at 19,773.07.
The Canadian dollar gained 0.1 cents at 72.57 cents U.S.
In corporate news, Dye and Durham shares rose $1.42, or 13.2%, to the top of the TSX, at $12.22, after the cloud-based software firm announced a strategic review of non-core assets, contemplating a potential sale of all or part of non-core assets.
Definity Financial was up 81 cents, or 2.2%, to $37.78, as multiple brokerages raised their price target on the insurer’s stock.
Meanwhile, Panama’s top court is likely to rule against First Quantum when it decides on the fate of a key copper mine contract in the coming weeks, a majority of lawyers in a Reuters survey said.
The Canadian miner was down 61 cents, or 3.8%, to $15.67.
In corporate news, Australian pension fund AustralianSuper rejected an offer to drop its opposition to a $10.5-billion bid for Origin Energy by joining a consortium led by Canada’s Brookfield Asset Management and its partner EIG.
Brookfield shares strengthened 47 cents, or 1.1%, to $44.69.
ON BAYSTREET
The TSX Venture Exchange nicked up 1.98 points to 512.26.
All but three of the 12 TSX subgroups were higher, with information technology stocks higher 1%, energy gaining 0.9%, and materials up 0.8%.
The three laggards were real-estate, weaker 1.2%, health-care down 0.2%, and consumer staples off 0.01%.
ON WALLSTREET
Stocks rose on Monday, as traders tried to move past Moody’s Investors Service lowering its U.S. credit rating outlook to negative from stable.
The Dow Jones Industrials regained 93.85 points to 34,376.95.
The S&P 50 index fell 0.12 points to 4,415.12.
The NASDAQ slid 27.15 points to 13,770.95.
Leading the S&P 500 gains were DaVita, up 8%, Insulet, better 7% and Henry Schein, ahead 6%. Shares of Boeing added more than 4% after Emirates announced a $52-billion order for 95 aircraft, giving the Dow a lift.
Moody’s on Friday underscored the U.S.’ “very large” fiscal deficits and partisan gridlock in Washington as contributing factors for the cut.
The ratings agency reaffirmed America’s credit rating at AAA, the highest level. This comes three months after Fitch lowered the U.S. long-term foreign currency issuer default rating to AA+ from AAA, also citing expected fiscal deterioration, an increasing debt burden and political standoffs on fiscal and debt issues.
Investors are awaiting the release of fresh U.S. inflation data this week, with the latest reading on the consumer price index slated for release Tuesday.
Prices for the 10-year Treasury were negative, raising yields to 4.64% from Friday’s 4.62%. Treasury prices and yields move in opposite directions.
Oil prices perked $1.21 to $78.38 U.S. a barrel.
Gold prices brightened $12.40 to $1,950.10.