Markets managed to post gains today, as traders shook off some growth
concerns and ignored their profit-taking instincts to continue buying
stocks. The S&P/TSX composite index finished 35.7 points higher on the day to close at 6,362.3.

Volume was decent at 197.9 million shares, with buying activity way ahead of selling activity by a margin of 13:6. Market internals also improved throughout the afternoon, with the split between winners and losers almost even by the end of the session.

Techs led the rally, with a nearly 8% gain. Traders seem to have shaken off some negative comments from Microsoft. The possible easing of tensions with Iraq, as well as various other bits and pieces of corporate news were also supportive today. Diversifieds gained about 4.3% and there was also strong buying in consumer names, materials, industrials and health care. Real estate, energy and golds all finished lower, with the latter two hit by the easing war talk.

The big trade today was in Fording, gaining 22% on news of its proposed
takeover by Sherritt and Teachers. Almost 7 million shares crossed the tape.

Apart from Fording’s news, there was also big action in the beaten up tech sector. Nortel Networks gained 20% today on a huge volume of 55.2 million shares. It was joined by strong buying in Celestica, BCE Emergis and Ballard Power. However, Zarlink dropped almost 5% on the day.

Cogeco Cable gained almost 11% on its latest earnings results. There were also gains in Air Canada, Four Seasons, Creo, and International Forest Products. CN was near flat at the end of active trading.

Financials had a split session, finishing modestly on the upside. CIBC was the big gainer, ending 2.2% higher on the day. Although it was halted after the bell to announce plans to shut its U.S. electronic banking business, cut jobs and take some large charges for these actions. It remains to be seen how the market reads these moves. Royal Bank dropped 1.3% today, and TD was down a bit too.

EnCana and Canadian Natural Resources led the energy group down on news that
war with Iraq may not happen after all. This also dented the golds, causing weakness in names such as Kinross, TVX Gold, Agnico Eagle and Bema.

In other M&A news, Agricore United and Saskatchewan Wheat Pool have entered into a binding agreement under which Agricore United will acquire SWP’s 30% ownership of Western Pool Terminals Ltd., a port terminal in Vancouver, and its related operating company Pacific Elevators Limited.

On the earnings front, Russel Metals has disclosed net earnings of $10 million for the third-quarter of 2002. The company recorded a profit of $3.5 million in the third quarter of 2001.

CGI Group reported unaudited results for its fiscal fourth quarter. Net earnings for the quarter totalled $35.5 million, up 30.3% compared with earnings before amortization of good will of $27.3 million in the same
period of 2001.

In financing news, CanWest Global Communications’s subsidiary, Fireworks
Entertainment, has secured a US$110-million stand-alone credit facility from a syndicate led by Comerica Bank-California. The facility provides Fireworks with the independent capacity to finance future growth including the development, production, acquisition and distribution of new television and
feature film properties.

Finally, Peter Richardson, president of Bennett Environmental, has resigned
from the company, effective immediately, for personal reasons. The company has been looking for a new chief executive officer and president and is hoping to appoint one within the next two months.

In New York, early selling pressure quickly abated. Stocks were up by midday and rallied through the afternoon to close 215.8 points higher on the day at 8,538.2. The S&P 500 added 15.3 points to 899.7 and the Nasdaq finished up 21.8 points at 1,309.7.

The Canadian small caps remained unconvinced though. The S&P/TSX Venture index finished down 0.7 points at 901.7. Volume was decent at 23.5 million shares. Estation Network was the top trader today, closing flat at 1¢ , with 2.2 million shares changing hands.