TSX closes lower as oil, jobs weigh
The mina index of the Toronto Stock Exchange limped to a positive finish having declined earlier on oil prices and jobs data.
Oil prices declined as OPEC members voted to hold steady on current policy; not a great surprise to analysts.
Asian markets closed lower on disappointment at the European Central Bank’s stimulus during the previous session, which was less than had been expected.
European markets, already dented by the ECB, digested declining oil prices and strong US jobs data; the major indexes closed lower.
Wall Street outperformed the rest of the world as jobs data added to expectation of the Fed increasing interest rates on Dec. 16.
The S&P/TSX Composite Index closed up 34.10 (0.26 per cent)
The Dow Jones closed up 370.0 (2.12 per cent)
Oil is trending lower (Brent $43.19, WTI $40.11 at 4.35pm)
Gold is trending higher (1086.70 at 4.35pm)
The loonie is valued at U$0.7474
Trade deficit jumps
Canada’s trade deficit increased to $2.76 billion in October, Statistics Canada said Friday. Exports to the US were particularly hard hit (down 2.8 per cent) while overall exports fell 1.8 per cent in dollar terms and 1.5 per cent by volume. Imports dropped 0.8 per cent in the month.
Canadian jobs declined in November
Employment decreased by 36,000 (down 0.2 per cent) in November, the result of losses in part-time work. It roughly wiped out the gains seen in October. The unemployment rate increased by 0.1 percentage points to 7.1 per cent. Compared with 12 months earlier, employment increased by 124,000 or 0.7 per cent, with all the growth in full-time work. Over the same period, the number of hours worked grew by 1.1 per cent.
Young Canadians (15-24 years) found work in November whereas figures other demographics were largely unchanged. Provincially, employment fell in Alberta, Manitoba, New Brunswick and Prince Edward Island. In the other provinces, employment was virtually unchanged.
Suncorp extends offer deadline for COS
Shareholders of Canadian Oil Sands Ltd. will now have until Jan. 8 2016 to decide whether to accept the hostile bid offer from Suncorp. The $4.5 billion bid was due to expire today. In addition the ‘poison pill’ shareholder rights plan for COS will end on Jan. 4 – Suncorp had asked the Alberta Securities Commission to scrap it while COS wanted it extended until February.