MW: Canada dollar, stocks rise after B. of. C. move
By Laura Mandaro
SAN FRANCISCO (MarketWatch) -- Canadian stocks rebounded Tuesday as market sentiment got a lift from reports global central bankers, who spoke by teleconference early Tuesday, were moving towards some kind of cooperation on Europe's debt crisis. The Canadian dollar edged up after the Bank of Canada signaled it was less likely to hike rates. The S&P/TSX Composite Index CA:$ISPTX +1.02% rose 82 points, or 0.7%, to 11,417, lifted by energy and financial stocks. The Canadian dollar USDCAD +0.12% rose, with the U.S. dollar buying C$1.0367 vs. $1.0392 in the prior session. As expected, the Bank of Canada left rates at 1%. But it made note of additional risks to the economy, including from the European crisis. "Overall, today's statement reinforces our view that the Bank of Canada will not be hiking anytime soon and remains reluctant to consider rate cuts," wrote analysts at BNP Paribas. [Update to clarify Bank of Canada's likely next rate move.]
