Canadian stock closes near 18-month highSouce:Xinhua Publish By Jane B. Hatcher Updated 23/01/2013 6:32 pm in Business / no comments
TORONTO, Jan. 22 — Canada’s positive retail sales and the news of Japan’s aggressive economic stimulus measures jointly pushed the the Canadian shares up on Tuesday.
The S&P/TSX Composite Index rose 30.38 points, or 0.24 percent, to 12,824.63, nearing its 18-month higher while the S&P/TSX Venture Composite Index gained 4.47 points, or 0.36 percent, to 1,241.07.
The optimism among investors is believed to be prompted by Canada’s better-than-expected retail sales. Official statistics released on Monday showed the retail sales rose by 0.2 percent to 39.4 billion Canadian dollars in November, the fifth consecutive month in which the figure has registered an increase.
Statistics Canada attributed the increase in November to robust sales of motor vehicles, electronics and home appliances.
Meanwhile, the positive market sentiment was also uplifted by the announcement by Japan’s central bank to launch further easing measures to support the Japanese economy and double its inflation target to 2 percent.
Five of the eight sectors on the Canadian stock were higher.
The energy sector increased 0.42 percent, with Suncor Energy advancing 1.07 percent to 34.16 Canadian dollars and Canadian Natural Resources down 0.82 percent to 30.19 Canadian dollars.
The base metals and mining sector rose 0.4 percent as the March copper contract in New York climbed 0.2 percent at 3.69 U.S. dollars a pound. Teck Resources gained 1.65 percent to 37.51 Canadian dollars.
The financial sector gained 0.21 percent. Bank of Nova Scotia continued to rise and closed at 58.40 Canadian dollars while Canada’s largest bank Royal Bank of Canada dropped 0.32 percent to 61.76 Canadian dollars.
In company news, Canada’s biggest rail carrier Canadian National Railway put up a much pale profit outlook for 2013. The company’s share price slipped 1 percent to 93.77 Canadian dollars on the day.
At closing, the Canadian dollar weakened to 1.0081 U.S. dollars at 5 p.m. local time (2200 GMT).