TSX Rallies 187 Points at Midday As Resources, Financials Lead
The TSX rose on Monday, as expected, and was ahead by 187 points at midday, as mining and energy stocks continued to draw strength from increasing commodity prices.
A softer U.S. dollar on Monday lifted copper and oil prices , as prospects of a rate hike this year fades, given recent economic data. Russia opening its doors to OPEC for a discussion about the market after declining to cooperate with the oil cartel for a while also helped support oil prices. At last check, benchmark Brent crude was up 3.43% at US$49.78/barrel, while copper surged 1.23% to US$2.354/pound.
Also positively influencing sentiments was the potential acquisition by Suncor (SU.TO) of Canadian Oil Sands (COS.TO). Suncor said it has formally commenced an unsolicited offer to Canadian Oil Sands shareholders to acquire all of the outstanding shares of COS for total consideration of near $4.3 billion.
At midday, the mining and energy sectors were advancing 7.01% and 3.72%, respectively. Financials jumped 1.85%. Health care, however, took the opposite direction and was down 3.72%.
Total volume traded so far reached 188.9 million shares. Canadian Oil Sands was the most actively traded stock.
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