Canadian Stocks Are Rising As Oil Begins To Stabilize -- Canadian Commentary

(RTTNews) - The Canadian stock market is gaining ground on Tuesday, bouncing back from the weakness of the previous session. The market is tracking global equity markets higher, largely due to optimism for the U.S. earnings reporting season.

Aluminum giant Alcoa reported better than expected results after the bell yesterday, unofficially kicking off the U.S. reporting season on a positive note. Broker upgrades of several large U.S. technology companies have also provided a boost.

Oil prices fell to a 6-year low this morning, dropping to $45 per barrel, but have since begun to stabilize. The continued weakness was attributed to statements from OPEC members, who said that they are not planning to reduce output.

There was again precious little economic data released today, but investors are looking forward to the release of the U.S. retail sales data, which is due to be released on Wednesday.

The benchmark S&P/TSX Composite Index is up 56.51 points or 0.40 percent at 14,321.52. The index had reached an early high of 14,369.84.

On Monday, the index closed down 119.91points or 0.83 percent, at 14,265.01. The index scaled an intraday high of 14,378.32 and a low of 14,122.38.

The Financial Index is rising by 0.85 percent. Bank of Nova Scotia (BNS.TO) is up 0.60 percent and Toronto-Dominion (TD.TO) is gaining 1.02 percent. Royal Bank of Canada (RY.TO) is rising by 0.48 percent and National Bank of Canada (NA.TO) is increasing by 1.07 percent. Canadian Imperial Bank of Commerce (CM.TO) is advancing by 0.94 percent.

The Information Technology Index is climbing by 1.51 percent. Sierra Wireless (SW.TO) is gaining 2.81 percent and Descartes Systems Group (DSG.TO) is up 4.38 percent.

The Health Care Index is gaining 0.75 percent. Valeant Pharmaceuticals (VRX.TO) is rising by 1.96 percent and Catamaran (CCT.TO) is higher by 1.30 percent.

The Energy Index is up 1.00 percent, as the price of oil is showing signs of stabilizing. Suncor Energy (SU.TO) is up 2.45 percent and Canadian Natural Resources (CNQ.TO) is higher by 1.29 percent. Canadian Oil Sands (COS.TO) is gaining 0.68 percent. Encana (ECA.TO) is up 0.13 percent and ARC Resources (ARX.TO) is climbing by 2.34 percent.

The Diversified Metal and Mining Index is sinking by 5.54 percent. Teck Resources (TCK.TO) is falling by 3.85 percent and Capstone Mining (CS.TO) is sinking by 10.88 percent. HudBay Minerals (HBM.TO) is declining by 7.24 percent and Turquoise Hill Resources (TRQ.TO) is down 2.54 percent.

The Gold Index is falling by 2.23 percent. Barrick Gold (ABX.TO) is down 2.06 percent and Kinross Gold (K.TO) is losing 2.90 percent. B2Gold (BTO.TO) is lower by 2.02 percent and Goldcorp (G.TO) declining by 2.95 percent.

The Capped Materials Index is also losing 2.15 percent. Franco-Nevada (FNV.TO) is decreasing by 1.82 percent and Agnico Eagle Mines (AEM.TO) is down 2.73 percent.

First Majestic Silver (FR.TO) is up 1.23 percent. The company announced that total production during 2014 reached a new record of 15,257,958 equivalent ounces of silver, representing a 19% increase over 2013.

Sirius XM Canada (XSR.TO) is surging by 12.34 percent. The company reported first-quarter net income of C$0.06 per share after the close Monday, up from C$0.04 per share in the prior-year quarter. Expectations had been for C$0.04 per share.

Vecima Networks (VCM.TO) is gaining 2.76 percent. The company announced that it has signed a supply agreement with a major MSO, to support its all-digital conversion across the U.S.

China's trade surplus decreased slightly less than expected in December as exports rose more than forecast while imports continued to fall, though at a slower than expected rate, figures from the customs office showed on Tuesday.

The trade surplus fell to $49.6 billion in December from November's record high of $54.48 billion. Economists had expected the trade surplus to decrease to $49 billion.

Germany's wholesale prices decline accelerated for the second straight month in December and prices fell the most in five years during the whole year 2014, preliminary figures from Destatis showed Tuesday. The wholesale price index fell 2.3 percent year-on-year in December, faster than November's 1.1 percent decline. In October, prices dropped 0.7 percent.

U.K. inflation slowed more-than-expected to the lowest since May 2000 on lower fuel prices, data from the Office for National Statistics showed Tuesday. Inflation halved to 0.5 percent in December from 1 percent in November. It was expected to ease to 0.7 percent.

Another report from ONS today showed that output prices declined at a faster pace of 0.8 percent annually in December after falling 0.6 percent in November. It was faster than a 0.4 percent drop forecast by economists.

In commodities, crude oil futures for February delivery are down $0.08 or 0.17 percent at $45.99 a barrel.

Natural gas for February is up $0.048 or 1.72 percent at $2.843 per million btu.

Gold futures for February are up $2.80 or 0.23 percent at $1,235.60 an ounce.

Silver for March is up $0.471 or 2.84 percent at $17.035 an ounce.