Canadian shares opened on an upbeat note Monday morning, riding on news about Joe Biden's win in the U.S. presidential election, and positive updates on the coronavirus vaccine front from Pfizer Inc. and BioNTech SE.
Higher crude oil prices triggered heavy buying in the energy space and contributed significantly to market's sharp uptick.
Pfizer Inc. and BioNTech SE announced that the first set of results from the phase 3 COVID-19 vaccine trial provides initial evidence of the vaccine's ability to prevent COVID-19.
The results were based on the first interim efficacy analysis conducted on November 8, 2020 by an external, independent Data Monitoring Committee from the phase 3 clinical study. The Committee has not reported any serious safety concerns.
The benchmark S&P/TSX Composite Index, which soared to 16,715.72, gaining more than 430 points in early trades, is now up 323.25 points or 1.9% at 16,606.08.
The Capped Energy Index is soaring more than 13%. Vermilion Energy (VET.TO), the biggest gainer in the fold, is up over 21%. Suncor Energy (SU.TO) is rising 19.5%, while Cenovus Energy (CVE.TO), Husky Energy (HSE.TO), MEG Energy Corp (MEG.TO) and Canadian Natural Resources (CNQ.TO) are up 14 to 17%. Crescent Point Energy (CPG.TO) is up 13% and Parex Resources (PXT.TO) is surging up 12.3%.
Enerplus Corp (ERF.TO), Seven Generations Energy (VII.TO), Imperial Oil (IMO.TO), PrairieSky Royalty (PSK.TO) and Whitecap Resources (WCP.TO) are also up with hefty gains.
The Capped Healthcare Index is up more than 7.5%. Aurora Cannabis (ACB.TO), up 25%, tops the list of gainers. Aurora reported fiscal Q1 2021 total and cannabis net revenue of $67.8 million, a slight increase from the $67.5 million in the prior quarter.
Canopy Growth Corporation (WEED.TO) is up by about 7%. The company reported a second quarter loss of C$0.09 per share compared to profit of C$0.25, a year ago. Net loss attributable to Canopy was C$32.06 million compared to profit of C$258.92 million.
Bausch Health Companies (BHC.TO) is rising 9.5%, Cronos Group Inc. (CRON.TO) is up 7.7% and Aphria Inc. (APHA.TO) is advancing 6.5%. Chartwell Retirement Residences (CSH.UN.TO), Sienna Senior Living (SIA.TO) and Knight Thrapeutics (GUD.TO) are gaining 6.8%, 6.6% and 2.8%, respectively.
Several stocks from consumer discretionary, real estate, financial, utilities, industrial and telecom sections are up with handsome gains. Consumer staples are also faring well, while information technology and materials shares are weak.
In the financial section, Manulife Financial Corp (MFC.TO) is rising nearly 11%. Onex Corp (ONEX.TO) is gaining more than 9%. Toronto-Dominion Bank (TD.TO), Bank of Nova Scotia (BNS.TO), CDN Western Bank (CWB.TO), Laurentian Bank (LB.TO), Fairfax Financial Holdings (FFH.TO), Sun Life Financial (SLF.TO) and Bank of Montreal (BMO.TO) are up 4 to 5.6%.
U.S. stocks are up sharply. The major averages are all up with impressive gains. The Dow is surging up 4.28%, the S&P 500 is rising 3.2% and the Nasdaq is gaining 1.3%.
European are well on course to end the day with impressive gains. Among the major indices, the U.K.'s FTSE 100 is up 5.3%, Germany's DAX is up nearly 6% and France's CAC 40 is up almost 8%. The pan European Stoxx 600 is up by about 4.1%.
In commodities, West Texas Intermediate Crude oil futures for December are up $3.75 or 10.1% at $40.89 a barrel.
Bullion prices are falling with investors going in for riskier assets. Gold futures are down $82.80 or 4.28% at $1,868.90 an ounce, while Silver futures are down $1.487 or 5.8% at $24.175 an ounce.
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