By James Langton
(May 1 – 09:00 ET) – Statistics Canada is reporting that labour productivity in the Canadian business sector grew three times faster in 1999 than in 1998, thanks to strong economic growth and an increase in the number of hours worked.
Productivity increased 1.4% in 1999, compared with 0.5% in 1998. While the labour productivity gains in 1999 were only slightly above the average over the last decade, increases in GDP per capita were well above the average for 1989 to 1999 because of the rapid increase in hours worked relative to population growth.
In Europe stocks are all up sharply. In London the FTSE has gained 148 points to 6327. France’s CAC 40 is up 172 points to 6419. Germany’s DAX is ahead by 193 points to 7414.
Merger Monday is in full swing today with the announcement that ING Groep NV will buy ReliaStar Financial Corp. for US$6.1 billion in cash. Siemens AG is paying US$2.1 billion for Shared Medical Systems Corp. Royal Numico NV is buying rival Rexall Sundown Inc. for US$1.8 billion. Publicis SA is attempting to acquire Young & Rubicam Inc.
In other business news the market rebound means that Certicom Corp. will revive its proposed new offering, expected to debut on Wednesday. It will offer 1.25 million of its common shares priced at $46.30 per share.
In Asia the tech bounce continued. The Nikkei added 429 big points to 18,403. The Hang Seng gained 326 points to 15,519.