By James Langton
(November 10 – 13:00 EST) – Markets are powering higher today, largely on the back of those irrepressible tech stocks. The TSE 300 index was up more than 50 points at midday.
Volume has been rather average at 54 million shares, split about 3:2 in favour of buyers. The split between advancers and decliners is virtually dead even. New lows continue to outpace the highs about 2:1, indicating a slight negative bias in the broader market.
On a sector basis, ten of the TSE’s 14 subgroups are on the upside, led by huge gains in gold, and strength in industrials and energy stocks. Gold is up about US$4.70 in New York today putting some fresh, hot air into those stocks, notably Barrick, Placer and Kinross. Similarly in the energy stocks, strong oil prices are giving traders a boost. Marathon Oil has been the strongest gainer so far, up $1.70.
On the tech front Nortel is running the show, up another $2.85. It is also goading some big gains in techs. Celestica, Cognos and Sierra Wireless have seen some strong gains.
Thwarted airline magnate Onex Corp. is trading strongly today too. It’s up more than 7% or $1.95 at midday. Among the financials, CIBC is trading strongly to the upside, up $1; while TD Bank is typically actively traded too.
The losers are concentrating on the telecoms and cable stocks. BCE Emergis, Rogers Cantel and Rogers Communications are all rather heavily down on news that Shaw and Can West have sorted out their divvying up of WIC Western Communications. Seagram is down strongly too – its Internet strategy apparently failing to excite traders.
In Montreal gains have been moderate. Currently the ME is up about 14.5 points. The small caps are up too – Alberta has gained 6.5 points, while the VSE is up half a point.
In New York some broader negativity in Dow stocks has been overcome by tech optimism too. Nasdaq is up about 42 points, while the Dow is down only 17 points with its techs cushioning drops in financials and industrials. The S&P is up six points.