Business
Banks lead markets higher
Banks lead markets higher
About this update from Bombardier Inc. Class A
[{"type":"text","content":"\nBanks lead markets higher\n\nCitigroup report triggers boom\n Mar. 10, 2009 (Baystreet.ca) -- 04:35 pm EST\nStock markets in Toronto and New York surged after positive earnings news from American banking giant Citigroup Inc. sent investors piling into beaten down financial stocks. Toronto's S&P/TSX composite index gained 312.49 points to 7,879.43. The Toronto financial sector rose in the wake of the Citigroup report. Royal Bank was up $3.28 to $32.07 while insurer Manulife Financial advanced $1.45 or 16% to $10.65. Laurentian Bank shares added 94 cents to $25.70 after CEO Rejean Robitaille said that the country's seventh-largest bank is in a good position to expand after its best financial performance ever in 2008. The bank posted record net profits of $102.5 million, 8% higher than the previous year. The market also got support from energy stocks even as oil moved lower. The price surged as high as $48.32 U.S. after OPEC signalled it will likely announce another production cut within days but stepped back after the U.S. Energy Department said the price of oil will average $42 U.S. a barrel this year and $53 U.S. next year. Just a month ago, it said it expected prices to average $43 U.S. and $55 U.S., respectively. Petro-Canada improved $1.12 to $27.61 while Canadian Natural Resources gained $2.17 to $45.57. The base metals sector took off, with Teck Cominco Ltd ahead 30 cents to $4.02 and FNX Mining jumping 34 cents to $3.52. Shares in HudBay Minerals Inc rose 20 cents to $5.91 after it announced the resignation of Allen Palmiere as chief executive officer and a member of the board, effective immediately. His departure comes as a major shareholder seeks to shake up the mining company's board of directors after the collapse of HudBay's proposed merger with Lundin Mining Corp. Other heavyweight stocks pushing the Toronto market higher included Research In Motion Ltd. up $3.30 to $49.25. The BlackBerry maker has announced that it will sponsor the upcoming tour of Irish supergroup U2. U2 previously had a highly publicized relationship with Apple. Potash Corp. ran up $5.42 to $95.45 while Bombardier Inc.gained 38 cents to $2.72. Among gold stocks, Barrick Gold Corp. declined $2.56 to $33.68. Iamgold Corp.said after the market close Monday it was planning to issue $275 million worth of shares to replace existing financing for i...