Business
Markets ignore job losses
Markets ignore job losses
About this update from Teck Resources Limited Class A
[{"type":"text","content":"\nMarkets ignore job losses\n\nIndexes leap by noon\n Feb. 6, 2009 (Baystreet.ca) -- 12:00 pm EST\nMarkets resumed their upward momentum leading up to noon Friday, turning a deaf ear to negative job numbers. The S&P TSX Composite Index was ahead 155.54 points to 9.016.52 by midday, after Statistics Canada said Canada lost a record 129,000 jobs last month.That was far more than the consensus expectation of 40,000, and the unemployment rate surged more than half a point to 7.2%. The drop in jobs exceeded any contraction during previous recessions in the early 1980s and 1990s.On the TSX, the base metals sector racked up solid gains for a second day, as the March copper contract in New York rose eight cents to $1.58 U.S. a pound. Teck Cominco Ltd. rose 36 cents to $5.36 and First Quantum Minerals climbed $1.64 to $30.04.The energy sector was flat, with Suncor Inc. 24 cents higher to $24.90.The Ontario Teachers' Pension Plan has confirmed talks with Petro-Canada about creating more value for shareholders. Petro-Canada shares added seven cents to $29.40.The TSX financial sector gained 0.7% ahead of an announcement from U.S. Treasury Secretary Timothy Geithner on how the government will employ the second half of a $700-billion U.S. bank bailout package as well as other help for financial players. Royal Bank advanced 25 cents to $31.49.TD Bank Financial Group confirmed it is raising its ownership of U.S. brokerage TD Ameritrade to 45% from 39.9%. The cost is $515 million, 50% above the current market value, under a previously negotiated hedging arrangement. TD shares were up 23 cents to $39.40.The Toronto gold sector was up 1.7%. Barrick Gold Corp. improved 91 cents to $48.56.The TSX was supported by two of its largest companies. Research In Motion Ltd. was up $3.67 to $73.61 while Potash Corp. rose $7.61 to $113.71.Shares in Canwest Global Communications Corp. were up five cents to 47 cents after it said it is exploring the sale or closure of five small-city TV stations. Analysts say it's unlikely the company will find a buyer in the current recession.Nortel Networks Corp. is seeking a three-month extension to deal with its restructuring under bankruptcy protection from creditors. Its shares were off half a cent at 10.5 cents.Fraser Papers Inc. jumped 11.5 cents or 35% to 44.5 cents after it reported a loss of $15.9 million or 32 c...