RTTNews - Bay Street stocks have soared again on Monday, following the lead of stocks around the globe. Higher commodity prices and a stronger-than-expected gross domestic product report have provided a boost to the Canadian market.
The S&P/TSX Composite Index has gained 254.43 points or 2.45% to 10,624.50. The index seems likely headed to its best finish in almost eight months.
Mining stocks have surged 6.7% as copper moved above $2.30 per pound on encouraging economic data from China and the U.S. that could spark demand. Of the big names, Teck COminco (TCK.B.TO) has rallied 8.9%, Inmet (IMN.TO) is up 6.6% and First Quantum (FM.TO) is up 6.1%.
Red Back Mining (RBI.TO) has lost 6.9% after announcing it has reached a deal to acquire Moto Goldmines (MGL.TO) in a stock deal worth approximately C$513 million. Moto shares are down 2.2%.
The Energy Index has gained 4.4% as crude oil reached above $68 per barrel. Canadian Oil Sands (COS.UN.TO) has added 5.94%, Canadian Natural Resources (CNQ.TO) is up 5.2% and Suncor (SU.TO) has climbed 4.5%.
Tech stocks are up 3.3% with Blackberry-maker Research in Motion (RIM.TO) showing a 4.5% gain.
Financials are up 2.7% with the big six banks all in the green. Bank of Nova Scotia (BNS.TO) is up 3.5%, Bank of Montreal (BMO.TO) has added 2.5%, Toronto-Dominion (TD.TO) is up 2.3% and Royal Bank (RY.TO) has gained 2.2%.
Manulife Financial Corp. (MFC.TO) has rallied 4.3% after the company appointed Scott Hartz as executive vice president of general account investments. In this role Hartz oversees all U.S., Canadian and Asian general account investments, with total assets exceeding C$166 billion.
In the top corporate news of the day, beleaguered automaker General Motors (GM) said that it has filed for bankruptcy under Chapter 11, as widely expected. In its filing, the company revealed that it had assets equivalent to $82.29 billion, and total debts, on a consolidated basis, of $172.81 billion, as of March 31.
According to the Globe and Mail, the federal and Ontario governments will contribute US$9.5 billion under the filing own $12% of GM.
Magna International (MG.A.TO) is down 0.3% after the company announced that it has reached a conceptual framework to take over Opel, the German division of General Motors Corp.'s European operations.
Elsewhere on the corporate front, Goldcorp (G.TO) has dropped 4.6% after the company said it is planning a private offering of approximately US$750.0 million of convertible senior notes due 2014.
Norwall Group (NGI.TO) posted first quarter net loss of C$1.04 million or C$0.15 per share, compared to a net loss of C$99 thousand or C$0.01 per share in the prior year quarter.
CE Franklin Ltd. (CFT.TO) has dropped 6.1% after the company announced the acquisition of a Western Canadian oil field equipment distributor. The company noted that the transaction will be financed from its existing bank credit facilities.
In economic news, Canada's real gross domestic product declined 1.4% in the first quarter, the largest quarterly decrease since 1991, according to data released Monday morning by Statistics Canada.
Meanwhile, the Industrial Product Price Index (IPPI) and the Raw Materials Price Index were both down 0.5% in April compared with March.
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