Canadian Market Extending Gains As Energy, Materials Shares Rally

(RTTNews) - The Canadian market is well placed in positive territory in early afternoon trade on Thursday with stocks from energy and materials sectors posting impressive gains following a surge in commodity prices.

Hopes about progress in diplomatic talks between Russia and Ukraine, and the Federal Reserve's move to hike interest rates by just 25 basis points are also aiding sentiment.

The benchmark S&P/TSX Composite Index is up 254.70 points or about 1.2% at 21,723.53 about half an hour past noon.

The Energy Capped Index is surging up 3.3%. Birchcliff Energy (BIR.TO) is moving up nearly 7%. Advantage Oil & Gas (AAV.TO), Tamarack Valley Energy (TVE.TO), Peyto Exploration (PEY.TO), Tourmaline Oil Corp (TOU.TO), Arc Resources (ARX.TO), Enerplus Corp (ERF.TO), MEG Energy (MEG.TO), Crescent Point Energy (CPG.TO) are gaining 4 to 5.6%.

The Materials Capped Index is climbing nearly 3.5%. New Gold (NGD.TO) and Oceanagold Corp (OGC.TO) both are gaining more than 8%. Iamgold Corp (IMG.TO) is up 7%. Silvercorp Metals (SVM.TO), Equinox Gold Corp (EQX.TO), First Majestic Silver Corp (FR.TO), K92 Mining Corp (KNT.TO), Ssr Mining (SSRM.TO), Silvercrest Metals (SIL.TO), Teck Resources (TECK.B.TO) and Methanex Corp (MX.TO) are up 4.5 to 6.%.

Endeavour Mining Inc (EDV.TO) reported adjusted net earnings of $145 million or $0.58 per share for the quarter for the fourth quarter of 2021. For the financial year 2021, the company's net earnings rose $254 million over fiscal 2020 to to $577 million. The stock is gaining 3.2%.

Canadian Pacific Railway Limited (CP.TO) announced that it has commenced its work stoppage contingency plan and will work closely with customers to achieve a smooth, efficient and safe wind-down of Canadian operations, if the union leadership and the company are unable to come to a negotiated settlement or agree to binding arbitration. The stock is down by about 0.5%.

Hut 8 Mining Corp (HUT.TO) reported record-breaking revenue of $173.8 million during the year ended December 31, 2021. The stock is moving up by about 3.5%.