Energy stocks rise as oil adds 3 per cent
Oil prices rose Monday as tension increased following the terror attacks on Paris and further unrest in the Lebanon. Supply concerns added 3 per cent to a barrel of West Texas crude while benchmark Brent was also up. That was despite worries that the attacks would curb tourism and transport stocks.
The TSX rose with energy stocks and financials being the biggest influences. Wall Street also gained.
Asian markets ended the day lower on concern over the Paris attacks while Europe closed mixed.
The S&P/TSX Composite Index closed up 242.1 (1.85 per cent)
The Dow Jones closed up 237.3 (1.38 per cent)
Oil is trending higher (Brent $44.88, WTI $42.06 at 4.05pm)
Gold is trending higher (1081.70 at 4.05pm)
The loonie is valued at U$0.7506
Factory output down further
Manufacturing sales were lower again in September having declined in August. Statistics Canada data showed a 1.5 per cent drop month-over-month following the 0.6 per cent decrease the month prior. Sales for September were $51.1 billion with the motor vehicle assembly and petroleum and gas sectors leading the decline. Volume of goods was also down.
House prices up 1.8 per cent
Home prices increased 1.8 per cent in October compared to the month before according to the Canadian Real Estate Association. Toronto and Vancouver continued to drive prices upwards but there was an even split of markets with higher and lower prices. Annually there was a 0.1 per cent rise in the national average. The oil-dependent areas saw some large declines in prices with Calgary suffering a 36.4 per cent drop.
Ottawa prepares to reveal stock options tax changes
Changes to the federal tax rules on stock options will be revealed soon. The finance minister Bill Morneau said Monday that details would be released “in the near term”. It was a Liberal election pledge to increase the tax but no figures were given. The prime minister is keen for tax changes to come into effect on Jan 1. 2016.
Buffett raises oil firm stake
Warren Buffett’s Berkshire Hathaway has increased its stock in energy firm Suncor. Documents show that Berkshire purchased an additional 7.6 million shares and it now holds a stake of around $1.1 billion in Suncor, making it the largest investor in the Canadian energy company.