Tuesday, September 12, 2006, 4:15 PM EST (Thomson Financial Corporate
Services): Canadian stocks moved somewhat higher on the day, pushed upward
by technology, telecom, financial and consumer staple issues. Turning to
the U.S., news that Patricia Dunn will step aside in January as head of HP
helped boost tech shares, and there was also good news from the Canadian
tech sector. Falling oil prices boosted U.S. shares, while domestic energy
stocks tumbled.
* The S&P/TSX Stock Exchange Composite Index advanced 22.34 points, or 0.19%.
* Canadian technology and telecom giants Nortel Networks and Telus have
teamed up to develop a multimedia infrastructure for home use, such as
Internet TV (IPTV), which they will present in a demonstration this week at
the Broadband World Forum in Vancouver. Sierra Wireless also boosted the
tech sector as it announced a deal with Cingular to supply its new wireless
laptop card, the AirCard 875, which is based upon the GSM global wireless
standard.
* Struggling drugmaker Patheon might accept a merger deal or put itself
up for sale in the coming weeks. Today it appointed a committee of its
Board to weigh its options.
* Sobey's, the giant supermarket chain, beat forecasts when it posted
third- quarter earnings of C$0.76 per share, up from C$0.74 per share a
year ago. Revenue rose from C$3.27 billion to C$3.31 billion, and the chain
also boosted its dividend 7.1% to C$0.15 per share.
* TD Banknorth has revised its third-quarter forecast downwards from
US$0.54 per share to US$0.51, citing higher marketing and deposit costs.
However, the U.S.-based branch of Toronto-Dominion Bank, will continue with
its growth strategy in the northeastern U.S.
* Statistics Canada reported that crude production fell in 2005 for the
first time in six years, a 2.3% drop to 13.64 million cubic metres pumped.
The drop was blamed on a major fire in Alberta. Almost half of Canada's oil
is consumed domestically, with the remaining 63% exported primarily to the
U.S.
* Reports of a thwarted bombing on the American Consulate in Syria
initially drove up the market for crude this morning; however, the rise was
short lived. Oil closed down again, at US$63.76, losing US$1.85, the first
time it has closed below US$64 since February.
* Gold slowed its fall, closing down US$3 at US$596.30, as the
greenback started to rebound.
* Statistics Canada says that Canada's merchandise trade surplus in
July declined for the second month in a row to C$3.9 billion, down from
C$4.1 billion in June, with rising imports from the U.S. the main reason.
Imports of cars and trucks and exports of aircraft and transportation
equipment were the most active sectors. South of the border, the July trade
deficit rose to an all-time high of US$68 billion, topping the old monthly
record of US$66.8 billion in October 2005 and drastically missing
expectations of US$65.4 billion; the surging price of oil was held
responsible. Both sets of figures depressed the North American markets.
-- Carolyn.Crapo@contractor.Thomson.com; Thomson Financial Corporate
Services
This is Thomson Financial Corporate Services Canadian Commentary, which
is updated twice daily. The information herein is believed to be true and
accurate, we take no responsibility for inaccurate information and reserve
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SOURCE Thomson Financial Corporate Group
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