Canada Stocks Edge Higher; Sectors Mixed; Ainsworth Lumber Co. Ltd. Most Active
Canadian stocks rallied from being 60 points lower after about an hour of Wednesday's session to slowly claw its way back in to positive territory inside the last half an hour. It closed just 1 point higher after the effort of getting there took its toll and it ran out of puff in the final moments. Sectors were mixed, with Telecom and Info Tech creating headwinds for the broader market.
The info tech sector continues to suffer a blow from Blackberry shares (BB.TO), which fell 5.2%. There were reports that Blackberry has hired boutique investment bank Perella Weinberg Partners to help advise on a possible sale of the company. But this comes after other reports that Fairfax Financial (FFH.TO) is having to work very hard to get together a consortium to complete a deal. FFH is led by former Blackberry director Prem Watsa.
The Canadian dollar continued to move higher for the 4th consecutive session on the heels of Friday's better than expected Canadian employment report. Resistance on the currency pair is seen near the August highs at 0.9725, while support is seen near the 5-day moving average at 0.9626.
Ainsworth Lumber Co. Ltd. (ANS.TO) was the most active stock after it announced that a new four year labor agreement with the Pulp, Paper and Woodworkers Union of Canada (PPWC Local 9) has been ratified by its union members. The new labor agreement involves approximately 135 employees at the 100 Mile House, British Columbia mill and will expire on June 30, 2017. The stock closed down 1.03% with 11.9 million shares changing hands.