TSX gains traction on higher metals prices telecoms under pressure

TSX gains traction on higher metals prices; telecoms under pressure TORONTO – The Toronto stock market was ahead Friday as metals prices pushed higher, while the telecom sector took a hit after regulators unveiled major changes in how consumers will get their television services.The S&P/TSX composite index rose 86.19 points to 14,960.12 near midday.On the upside, the TSX mining and metals sector rose 3.2 per cent, with the April gold bullion contract ahead $12.50 to US$1,181.50 an ounce and the May copper contract up 6.3 cents to US$2.72 a pound.The April crude contract in New York rose $1.89 to US$45.85.Colin Cieszynski, senior markets analyst at CMC Markets Canada, said commodities have been boosted partly by comments from the U.S. Federal Reserve on Wednesday over interest rates.The Fed signalled it wants to see the job market improve and inflation to come off its lows before it begins raising rates. The outlook on interest rates weighed on the value of the U.S. dollar against international currencies, which helped prop up commodities.“It’s encouraging that we’re seeing TSX materials and energy (stocks higher) because they’re two sectors that have been pretty beaten down,” Cieszynski said.“With the dollar coming back it has taken a bit of pressure off.”Meanwhile, the telecom and media sector was down 0.53 per cent. The CRTC revealed Thursday that it will order cable and satellite companies to offer a so-called “skinny basic” package of channels for no more than $25 a month. Consumers will also get more freedom to “pick and pay” the channels that they want.The loonie moved ahead 0.75 of a U.S. cent to 79.33 cents after Canada’s latest inflation figures showed lower gas prices offset higher prices for nearly everything else.Annual inflation rate held steady at 1.0 per cent in February, in line with analyst estimates. Statistics Canada said lower gasoline prices were a major factor and the inflation rate would have been 2.2 per cent if they were excluded.Also, Statistics Canada said retail sales declined in January to $41.4 billion, a decline of 1.7 per cent. It said sales were lower in seven of its 11 subsectors but gasoline stations represented a majority of the decline between December and January. Excluding gasoline, retail sales fell 0.8 per cent in January.On Wall Street, the Dow Jones industrials recovered most of the declines of the previous session, moving ahead 171.79 points to 18,130.82 and the S&P 500 index gained 17.84 points to 2,107.11. The Nasdaq rose 35.44 points to 5,027.82.In corporate news, AutoCanada Inc. (TSX:ACQ) stock was down 19 per cent Friday after it provided a sobering outlook for 2015, which the national auto dealership company says will be difficult because of the troubles in Canada’s energy industry.The Edmonton-based company’s stock traded for as little as $33.10 — approaching a 52 week low — before recovering some lost ground later Friday morning. It was at $34.50, down $8.24 from Thursday’s close, in late morning trade.Follow @dj_friend on Twitter. AddThis Sharing ButtonsShare to TwitterTwitterShare to FacebookFacebookShare to RedditRedditShare to 電子郵件Email by David Friend, The Canadian Press Posted Mar 20, 2015 5:48 am MDT

Leave a Reply

Your email address will not be published. Required fields are marked *