Canadian shares advanced on Thursday, propelled by a rally in retailers from Hudson’s Bay to Dollarama.
The benchmark Standard & Poor’s/TSX Composite Index (TSE:OSPTX) rose 0.4% to 13,588.79 at 12:18 p.m. in Toronto. Two shares advanced for every issue that declined as nine out of ten share groups were in positive territory.
Hudson's Bay (TSE:HBC) gained 4.1% to C$23.68 after middle-market Canadian department store chain swung to profit in its fiscal second quarter, driven by a strong U.S. dollar and higher online sales.
Dollarama (TSE:DOL) jumped 6.3% to C$85.25 after Canada’s largest dollar-store retailer reported a 38.6% higher-than-expected rise in fiscal second-quarter profit as the number and size of transactions increased. The stock has gained 43% this year.
The energy sector, the main index's second most heavily weighted group, rose 1% as oil futures extended gains.
Suncor Energy (TSE:SU), Canada's largest oil sands producer, added 1.2% to C$35.17.
Canadian Natural Resources Limited (TSE:CNQ), the nation’s second-largest energy producer, inched up 0.6% to C$27.35.
Brent crude futures were up $1.06 at $48.64 per barrel. U.S. crude futures were up $1.59 to $45.74 a barrel.
The materials sub-index, which includes mining shares, edged up 0.5% as bullion rises from a four-week low.
Goldcorp (TSE:G), Canada’s largest gold miner by market value, rose 1% to C$16.99. Barrick Gold (TSE:ABX), Canada’s second-largest gold miner, added 0.5% to C$8.33.
Spot gold was up 0.5 percent at $1,110.81 an ounce, while U.S. gold futures for December delivery were up $8.10 an ounce at $1,110.10.
Financials, the index's most heavily weighted sector, gained 0.2%. Royal Bank of Canada (TSE:RY), which has the heaviest weighting in the index, was flat at C$72.43. Toronto-Dominion Bank (TSE:TD), the second-largest bank by market value, jumped 0.6% to C$52.25.
Sun Life Financial (TSE:SLF) rose in morning trade after Canada's third-largest life insurer said it will acquire Assurant’s (NYSE:AIZ) employee-benefits business for $975mln.
In economic news, new-home prices in Canada rose in July, propelled by gains in Toronto's robust housing market, data from Statistics Canada showed on Thursday.