By Jason Galanis
Canada stocks rebounded during this week’s trading, closing with gains that nearly helped recover losses from the previous week’s sessions. Miners, financials and industrials helped led the day’s gains.
The Toronto Stock Exchange S&P/TSX composite index rallied 115.25 pts, a 0.76 percent increase, to close at 15,339.77. Nine of the ten main sectors rallied throughout the day’s sessions. On Thursday, disappointing monthly earnings reports helped contribute to a 0.8 percent loss.
Throughout the week, the index lost 0.4 percent. During April, the index rallied as much as 2 percent, in part to slightly bolstered oil prices.
Financials rose by 0.6 percent, led by the Toronto-Dominion Bank‘s 0.5 percent rally.
Materials, which includes miners, also rallied on Friday. The group rose by 1.8 percent, led by First Quantum Materials Ltd’s 5.6 percent rally. Agnico Eagle Mines Ltd also rallied 5.7 percent after releasing better than expected first quarter results.
Valeant Pharmaceuticals International Inc. also helped lead rallies in the index on Friday. The pharmaceuticals company rose 3.7 percent, increasing to C$271.19, after analysts revised and raised their price targets. The company also raised their sales and earnings forecasts this past Wednesday.
Energy stocks, however, didn’t perform as well due to the decline in oil prices following recent market news. A peak in Iraq‘s oil exports, strong dollar pressure and market sentiments from a recent Venezuela oil refinery shutdown contributed to Friday’s weaker than usual oil price performance. Recently published data regarding U.S. oil rig drilling activity also had some influence on oil prices throughout Friday’s sessions.
Oil prices did rally slightly on Friday. June-dated Brent settled at $66.46 per barrel, while June-dated U.S. crude settled at $59.15 a barrel.
Market observers do expect energy stocks to perform better in the future, once crude oil prices rise again. Various stocks belonging to Canadian oil and gas companies, according to analysts, are expected to ‘look more attractive’ once the market somewhat recovers in the foreseeable future.