Equities in Canada’s largest market notched a fresh two-week high on Thursday as energy and materials stocks advanced after investors assessed that easing anti-COVID measures in China will revive demand for commodities.
The TSX Composite came off its highs of the morning, but still strengthened 49.01 points to 20,022.23.
The Canadian dollar eked ahead 0.04 cents at 73.59 cents U.S.
Canadian stocks have recovered sharply from their October lows on hopes that the U.S. Federal Reserve and other
major central banks may temper their aggressive rate-hike stance on signs inflation may have peaked.
In consumer staples, North West Company surged midday 99 cents, or 2.7%, to $37.38, while Alimentation Couche-Tard hiked $1.60, or 2.7%, to $62.52
Parkland Corp gained $1.83, or 6.6%, to $29.53, after the food and fuel retailer posted its 2023 outlook.
Industrials had a good morning, too, as Mullen Group soared 66 cents, or 4.5%, to $15.35, while TFI International claimed $2.80, or 2%, to $141.68.
Communication stocks went in reverse, as Corus Entertainment lost a nickel, or 2.2%, to $2.19, while Rogers docked $1.06, or 1.7%, to $60.95.
ON BAYSTREET
The TSX Venture Exchange edged up 1.08 points to 585.02.
All but three of the 12 subgroups remained positive by lunch time, with consumer staples up 1.3%, industrials ahead 1%, and consumer discretionary stocks surging 0.8%.
Only communications missed the party, sliding 0.6%, along with two other subgroups; gold fell 0.2%, and financials skidded 0.01%.
ON WALLSTREET
Stocks rose Thursday as the S&P 500 attempted to crack a five-day losing streak and Wall Street evaluated the odds of a recession ahead.
The Dow Jones Industrials roared ahead 200.37 points to 33,798.29, bolstered by gains from Chevron and Boeing.
The S&P 500 gathered 27.17 points to 3,961.09
The NASDAQ recovered 108.94 points, or 1%, to 11,067.50.
Meanwhile, Exxon rose 2% as the oil giant lifted its buybacks, while Chevron gained on a higher capital spending budget. GameStop rose after posting earnings.
Investor attention remains laser-focused on next week’s Federal Reserve policy meeting, where the central bank is widely expected to issue a 50-basis-point interest rate hike. It’s a smaller increase than the prior four rate hikes, but may do little to alleviate recession fears as the Fed attempt to squash surging prices. Next week’s November consumer price index should also provide more clarity on the direction of inflation.
Jobless claims showed a slight bounce higher last week to 230,000, which was exactly in line with the Dow Jones estimate, the U.S. Labor Department said Thursday.
Prices for the 10-year Treasury fell, raising yields to 3.47% from Wednesday’s 3.42%. Treasury prices and yields move in opposite directions.
Oil prices climbed 77 cents to $72.78 U.S. a barrel.
Gold prices brightened $3.80 to $1,801.80 U.S. an ounce.
