Daily Wrap-up: Oil remains the dominant force

Oil remains the dominant force... Performance Sports Group halves value on debt concerns... Housing sales down again says CREA...

Steve Randall

Oil remains the dominant force
The oil price rally gathered pace Monday to add more than 2.5 per cent during the session, pushing gains since Thursday into double figures.

The rising prices boosted energy stocks again and 7 of the 10 main sectors of the index gained.

Canada’s gold producers were also lifted by rising prices as the likelihood of an impending Fed interest rate rise, with an expected downward impact on gold prices, remains lower as the year ticks by.

The loonie is also continuing its current upward trajectory.

Wall Street also continued its recent winning streak with the three main indexes all closing at record highs.

Asian markets closed higher earlier in the day despite weak GDP data from Japan while European indexes were broadly flat.
The S&P/TSX Composite Index closed up 29.57 (0.20 per cent)
The Dow Jones closed up 59.58 (0.32 per cent)
Oil is trending higher (Brent $48.32, WTI $45.72 at 4.50pm)
Gold is trending higher (1344.70 at 4.50pm)
The loonie is valued at U$0.7740
Performance Sports Group halves value on debt concerns
Performance Sports Group, formerly Bauer Performance Sports, said Monday that there would be a delay in its annual report as it is currently investigating its financial statements and talking to its creditors regarding debts.

The public company, once owned by Nike, is expected to end the fiscal year 2016 with debts of $425 million. The news spooked investors and saw the company’s market value fall 50 per cent during the session.
Housing sales down again says CREA
The Canadian Real Estate Association has revealed that nationwide home sales were down 1.3 per cent in July, the third consecutive month of declines. Year-over-year sales were down 2.9 per cent.

Many markets saw lower sales including Vancouver where figures are expected to be further impacted in August by the new 15 per cent tax on purchases by foreign buyers.