TSX Wavers But Valeant Rallies -- Canadian Commentary

(RTTNews) - Canadian stocks were flat Wednesday, rebounding from early losses on hopes the US economic recovery will continue.

Energy stocks struggled despite bullish inventories data.

US crude oil inventories last week fell by 2.5 million barrels in the week to August 12, standing at 521.1 million barrels.

In the final of trading, the S&P/TSX Composite Index was down 12 points at 14,687.01, easing further from recent yearly highs.

Shares of Valeant Pharmaceuticals International Inc. (VRX, VRX.TO) surged fter the Canadian drugmaker received two rating upgrades this week.

Today, Morgan Stanley upgraded Valeant Pharma to "overweight" from "equal weight" and increased its price target to $42 on its stock, noting that its upside skew is "attractive".

In economic news, the minutes of the Federal Reserve's July meeting showed policy makers remain conficted about whether to raise interest rates.

A few members pushed for a July rate hike, signalling that a September hike is on the able after the strong recent jobs report.