Prep Business Report – CP

Source: The Canadian Press – Broadcast wire
Mar 17, 2015

The Toronto stock market closed sharply higher yesterday as the market started to claw back two weeks’ worth of steep losses.

The S-and-P/T-S-X composite index gained 131 points to 14,863.

In New York, the Dow Jones industrial average closed ahead 228 points to 17,977.

The Nasdaq composite index climbed 58 points to 4,930.

In Tokyo this morning, the Nikkei average closed up 191 points at 19,437.

In Hong Kong, the Hang Seng index slid 48 points to 23,901.

And the dollar is trading overseas this morning at 78.33 cents U-S — up eight basis points from yesterday’s close of 78.25 .

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(World-Markets)

Asian stocks markets jumped today as investors second guessed what signals the U-S Federal Reserve will give on interest rate hikes at its policy meeting this week.

Japan’s Nikkei 225 rose one per cent and South Korea’s Kospi jumped two per cent.

China’s Shanghai Composite added 1.5 per cent, extending its gain from the previous session.

Hong Kong’s Hang Seng was the lone major index to slide, closing down 0.2 per cent.

Stocks in Australia and Southeast Asia were also higher. (The Associated Press)

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(US-Fed-Watch)

The U-S Federal Reserve opens its two-day meeting today with market traders and economists eagerly waiting to see what it says in its statement tomorrow.

They’ll be watching to see if the U-S central bank drops the word “patient” in describing its timetable for raising interest rates from a record low.

I-G market strategist Evan Lucas says “all but half a handful of economists” expect the word to be removed — but estimates of when the first rate hike will come are swinging between mid-year and later in the year. (The Associated Press)

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(Marriott-Delta-Regulator)

The Competition Bureau has approved a deal allowing Marriott International to buy the Delta hotel brand from the B-C Investment Management Corporation.

The federal regulator says competition from rival chains and independent hotels likely prevents any substantial decrease of competition created by the acquisition.

In January, the American hotel chain agreed to buy the Delta hotel brand for 168-million-dollars, taking over the 38 Delta hotels and resorts including 10-thousand rooms across Canada. (The Canadian Press)

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(US-Valeant-Salix)

Laval, Quebec-based Valeant Pharmaceuticals has raised its friendly offer for Salix Pharmaceuticals to about 11.11-billion-dollars U-S, an increase of 9.5 per cent.

The companies say the offer values North Carolina-based Salix at about 15.8 billion-dollars U-S, including debt that Valeant would assume.

The new bid prompted Irish specialty drug maker Endo International to withdraw the competitive offer it made last week of 175-dollars U-S per share in cash and stock.

In a statement, Endo says it is disappointed, but will continue to pursue growth through other means. (The Canadian Press)

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(Bombardier-Malaysia)

Bombardier says it has signed a letter of intent to sell 20 of its C-S-100 aircraft to a Malaysian carrier called Fly Mojo.

A firm order would be worth almost 1.5 billion dollars U-S, but could double if options for an additional 20 planes are picked up.

So far, Bombardier has booked orders and commitments for 603 of its new C-Series aircraft. (The Canadian Press)

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(CN-Unifor)

Five new contracts between C-N Rail and the union representing about 48-hundred of its workers have been ratified.

Unifor says the ratification of a sixth tentative agreement covering safety inspectors, maintenance and repair workers is still underway.

The approved contracts involve mechanics, clerical workers, excavator operators, locomotive engineers and truck drivers.

The union says the deals include stronger job security, improved benefits and annual wage increases over the next four years.

It also includes a partnership between the union and the railway to create a fund focused on women’s equality and aboriginal issues. (The Canadian Press)

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(US-EGR-Exxon-Mobil-Settlement)

The New Jersey Senate has approved a resolution that calls for a judge to reject Governor Chris Christie’s 225-million-dollar settlement with Exxon Mobil.

Critics say the proposed settlement is far less than the 8.9-billion-dollars the state had sought for the cleanup of two polluted sites.

The state first sued in 2004. (The Associated Press)

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(The Business Report by David Bent and Lori Paris)

(The Canadian Press)

INDEX: BUSINESS