Daily Wrap-up: TSX closes up 120 points

TSX closes up 120 points
There was a jump for the main TSX index Thursday as BlackBerry saw a jump in its share price following Citron Research marking it out as a possible takeover target.

Meanwhile, Element Fleet Management recovered from being wrongly guessed as the next stock to be shorted by Muddy Waters in the previous session. The financials sector also benefitted from gains for big banks.

Materials and telecoms were the weakest of the ten main sector groups but even they were only just in the red. IT and energy were among the strongest.

Wall Street also gained along with Europe; both awaiting Trump’s announcement on climate change; Asian markets closed mixed.

The S&P/TSX Composite Index closed up 120.0 (0.78 per cent)
The Dow Jones closed up 135.5  (0.65 per cent)
Oil is trending higher (Brent $50.39, WTI $48.08 at 4.40pm)
Gold is trending lower (1268.80 at 4.40pm)
The loonie is valued at U$0.7396

BlackBerry tipped for takeover
Ontario-based BlackBerry is becoming more attractive as a takeover target the further away from its handset-based history it gets.

Citron Research believes that the firm’s QTX technology would be an important asset for a large US tech firm in the autonomous vehicle business, once the industry sees past BlackBerry’s past.

The report from Citron notes the transition from hardware to software, better balance sheet and the value of its CEO John Chen whose compensation package is heavily reliant on strong stock value.

Citron’s NASDAQ target price for the firm is $20.

Ottawa unveils $867 million for Canadian lumberwood industry
The federal government is softening the blow of the US tariff on softwood exports with an $867 million aid package.

Natural resources minister Jim Carr told reporters Thursday that “Canada is standing up to the US Canada is standing up for Canadians,” as he released details of government help which includes federal loans and loan guarantees through the BDC and EDC.

There will be additional support for workers who lose their jobs as a result of the trade dispute.