Daily Wrap-up: Mining, energy helps TSX to positive close

Daily Wrap-up: Mining, energy helps TSX to positive close

Daily Wrap-up: Mining, energy helps TSX to positive close Mining, energy helps TSX to positive close
Mining and energy stocks helped the main index of the Toronto Stock Exchange to a positive result Monday while many of the world’s indexes, including Wall Street suffered losses.

Oil prices gained following further expectation of a Saudi-led freeze on output and on China’s action aimed at boosting bank lending. West Texas crude was up 3 per cent while Brent was up around 2.5 per cent.

The boost to oil did not extend to Wall Street where all three major indexes closed with losses. Asian markets had closed mostly lower earlier in the day while Europe closed mostly higher with Frankfurt the notable exception.
The S&P/TSX Composite Index closed up 62.56 (0.49 per cent)
The Dow Jones closed down 123.5 (0.74 per cent)
Oil is trending higher (Brent $35.97, WTI $33.86 at 4.30pm)
Gold is trending higher (1239.20 at 4.30pm)
The loonie is valued at U$0.7403
Producer prices higher in January
The Industrial Product Price Index rose 0.5 per cent in January. Statistics Canada reported that the rise was mainly as a result of higher prices for motorized and recreational vehicles but was moderated by lower prices for energy and petroleum products. Eighteen of the 21 major groups saw prices rise.

The Raw Materials Price Index declined 0.4 per cent though, led by lower prices for crude energy products. Primary ferrous metal products also dragged the index lower.
Trade deal with Europe could soon be settled
The Comprehensive Economic and Trade Agreement (CETA) which was agreed in 2014 between Canada and the European Union has moved a step closer to being finalized. The thorny issue of investor-state dispute settlements has been agreed by both sides and is likely to mean a similar agreement in the EU’s deal with the US. In a joint statement Canada and the EU said they had listened to concerns over the deal and revised it to be “fairer, more transparent.” It is now expected that the deal will be signed this year and come into force in 2017.
Valeant being probed by US securities regulator
The SEC is investigating Valeant Pharmaceuticals International the firm revealed Monday. No further details have been revealed so far but it is reported that the probe is separate from the ongoing one into Valeant’s purchase of Salix Pharmaceuticals Ltd.
Current account deficit increased slightly in Q4
Canada's current account deficit (on a seasonally adjusted basis) edged up $0.1 billion in the fourth quarter to $15.4 billion, StatsCan said Monday. On an annual basis, the current account deficit increased from $44.9 billion in 2014 to $65.7 billion in 2015.

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