(Updates prices and details throughout, adds analyst comment in
paragraph 6)
* TSX up 0.22% as energy, tech stocks gain
* WTI crude near $105 a barrel
* Shopify ( SHOP ) up 3.4%, tech index rises 2%
* Secure Waste jumps 7.7% after $4.63 billion takeover
deal
April 13 (Reuters) - Canada's main stock index rose on
Monday, lifted by energy shares as oil prices jumped after the
U.S. announced a blockade of Iranian ports following the failure
of peace talks, while the technology sector also recorded
gains.
At 10:40 a.m. ET, the Toronto Stock Exchange's S&P/TSX Composite
Index was up 0.22% at 33,772.43 points.
The U.S. military said it will begin a blockade of all maritime
traffic entering or leaving Iran after weekend talks failed to
result in a peace deal, while Tehran threatened to retaliate
against the ports of its Gulf neighbors.
The energy subindex was up 1.4% as oil prices surged
7% after talks collapsed, with futures for U.S. West Texas
Intermediate crude hovering near $105 a barrel.
Meanwhile, technology stocks were up 2%, with
e-commerce firm Shopify ( SHOP ) gaining 3.4%.
While markets received a respite last week in the form of a
ceasefire, the failure of negotiations has led to renewed
volatility even as investors brace for corporate earnings.
Goldman Sachs was the first among U.S. banking giants to
report its results this morning, with the lender's shares
slipping 3.2% due to weakness in its fixed income, currencies,
and commodities division.
"What we're looking for is for CEOs to come on and talk about
the guidance. If the war drags on, and with higher oil prices,
M&A activity could slow down for banks and weigh on
profitability," said Michael Dehal, senior portfolio manager,
Dehal Investment Partners at Raymond James.
Financials, the heaviest-weighted sector on the
Canadian benchmark index, gained 0.2%.
But seven of 10 sectors on the TSX were in the red in
morning trade.
Consumer staples led sectoral losses, declining
1.8%.
The gold index fell 1.1% after bullion prices
retreated as fears of war-driven inflation reduced expectations
of interest-rate cuts by the U.S. Federal Reserve.
The materials sector, which includes metal
miners, was down 0.5%.
Among individual movers, Secure Waste Infrastructure ( SECYF )
jumped 7.7% after waste management company GFL Environmental ( GFL )
agreed to buy the company in a C$6.4 billion ($4.63
billion) deal. GFL Environmental ( GFL ) shares, however, dropped 7.5%.