The economic fallout from blockades that’ve choked off rail traffic in Canada is getting worse by the day. Via Rail (whose CEO released a video statement late yesterday) is temporarily laying off approximately 1,000 employees as a result of the protests that are tied to the Coastal GasLink pipeline in British Columbia; and it was also forced to delay the resumption of service between Montreal and Quebec City because of a new blockade that popped up in the province. It’s a complicated impasse with no end in sight. And Canada’s premiers are now pressing Prime Minister Justin Trudeau to speak with them today about options for resolving the situation. We’re looking forward to speaking with Derek Burney this morning. As a former director of TransCanada it will be fascinating to hear what he has to say.

TELUS RAISING UP TO $1.5 BILLION

I can’t remember the last time one of Canada’s big telcos went to market like Telus announced late yesterday. It’s raising at least $1.3 billion in a bought deal financing of 25 million common shares priced at $52.00 apiece. With the over-allotment, the haul could swell to $1.5 billion. Proceeds are earmarked for capital expenditures, among other possibilities. Sidebar: Telus is presenting at the CRTC’s hearing on the wireless industry today in Gatineau, Que. – where capex has been a hot topic as it relates to the regulator’s proposal to mandate access by upstart mobile virtual network operators to the incumbents’ networks.

ANOTHER TSX RECORD

Investors are making a habit of sending Canadian stocks to all-time highs. New intraday and closing records were established yesterday as the S&P/TSX composite index closes in on another big round number of 18,000. Heavyweights likes CNRL, Enbridge and Shopify helped lead the way Wednesday. The bigger picture, as Paul Gardner from Avenue Investment Management pointed out this morning on The Street, is that investors’ hunt for yield is benefiting some of the blue chip dividend names.

MORGAN STANLEY BUYING E*TRADE

M&A continues in the discount brokerage industry, with Morgan Stanley announcing today it’s buying E*Trade for US$13 billion in an all-stock deal. It’s a significant bet on wealth management by the Wall Street firm, which points to more than US$3 trillion in assets at play in the deal.

OTHER NOTABLE STORIES

-It was a familiar theme in Loblaw’s latest results, with Shoppers Drug Mart looking like the star performer as same-store sales growth of 3.9 per cent more than doubled the pace posted in food retail. Overall fourth-quarter profit and revenue both came in just shy of the average analyst estimates.

-Imax is among our stocks to watch today after it managed to post a 14 per cent gain in fourth-quarter revenue despite concerns about the coronavirus’s impact on its operations in China. On that front, CEO Richard Gelfond said his team is monitoring the situation and looking “forward to circumstances improving.”

-L Brands confirmed this morning it has a deal with Sycamore Partners that will see the private equity firm buy a majority stake in Victoria’s Secret for US$525 million and have the lingerie retailer removed from public markets.

-Northview Apartment REIT announced today it has agreed to be acquired by Starlight Investments and KingSett Capital in an all-cash deal worth $36.25 per unit.

-Gildan Activewear is trading 10 per cent higher in the pre-market after the apparel maker raised its dividend 15 per cent while tabling a full-year profit forecast range that largely trails the average estimate. It also announced ex-CN Rail CEO Luc Jobin is joining its board of directors.  

-Interesting sequence of events: This morning, Reuters reported Thomson Reuters is close to announcing ex-Nielsen Holdings President Steve Hasker will be its next CEO. A couple minutes later, Thomson Reuters issues a press release saying no decision has been made and the next planned update will be disclosed in conjunction with quarterly earnings on Feb. 25.  

-Arc Resources announced today its long-time CEO, Myron Stadnyk, will retire on April 30. He’s being replaced as CEO, effective today, by COO Terry Anderson.

NOTABLE RELEASES/EVENTS

-Notable earnings: Newmont, Loblaw, Cargojet, RioCan, Gildan Activewear, Cott, Eldorado Gold, Hudbay Minerals, Inter Pipeline, Ovintiv

-Notable data: Teranet/National Bank Canadian home price index, Canadian new housing price index

-8:00 a.m. ET : CN Rail CEO Jean-Jacques Ruest addresses Citi conference

-9:30 a.m. ET: CP CEO Keith Creel addresses Citi conference

-10:00 a.m. ET: CMHC releases Housing Market Assessment

-11:00 a.m. ET: Caisse de dépôt et placement du Québec releases annual results

Every morning BNN Bloomberg's Managing Editor Noah Zivitz writes a ‘chase note’ to BNN Bloomberg's editorial staff listing the stories and events that will be in the spotlight that day. Have it delivered to your inbox before the trading day begins by heading to www.bnnbloomberg.ca/subscribe.