Equities north of the border were back in the win column Tuesday, after three straight sessions of losses as information and technology stocks powered the broader gains. This, while investors await any sign of the U.S. opening up for negotiations over some of the aggressive tariffs.
The TSX Composite Index finally sprang back to life, 121.3 points midday Tuesday at 22,980.76.
The Canadian dollar regained 0.13 cents to 70.37 cents U.S.
U.S. President Donald Trump said on Monday he would talk to China, Japan and other countries over the tariffs, but was not looking at a pause on the duties.
This came after Trump threatened to impose an additional 50% tariff on China if Beijing does not withdraw its retaliatory tariffs on the United States. Beijing said on Tuesday it will never accept the “blackmail nature” of U.S. tariff threats.
Shares of Canadian gold miners could get support as bullion prices drifted higher, aided by the global trade tensions, and a softer dollar.
In particular, Barrick Gold’s Reko Diq project in Pakistan reportedly aims to secure over $2 billion in financing from international lenders.
Shares in the world’s biggest gold company jumped 48 cents, or 1.9%, to $25.60.
Among techs, Shopify popped $3.80, or 3.4%, to $116.11, while Celestica gathered $4.01, or 4%, to $104.19.
However, communication shares dropped, with BCE leading the declines, down 95 cents, or 3%, to $30.54.
The IVEY School of Business reported its PMI figures tumbled to 51.3 in March, well off from a February level of 55.3, and from 57.5 in March 2024.
ON BAYSTREET
The TSX Venture Exchange held onto gains of 10.11 points, or 1.8%, to 577.53
Seven of the 12 TSX subgroups remained in positive country, led by information technology, up 2.2%, gold, shining 1.9% brighter, and materials, stronger 1.4%.
The five laggards were weighed most by health-care, down 2.4%, energy, sinking 1.9%, and telecoms, off 1.4%.
ON WALLSTREET
Stocks surged Tuesday in a slight reprieve from the tariff market turmoil, on rising hopes the U.S. would reach trade deals to lower the duties over time.
The Dow Jones Industrials zoomed 1,037.65, or 2.7%, to reach noon EDT Tuesday at 39,003.25.
The S&P 500 index rocketed 134.83 points, or 2.7%, to 5,197.08.
The NASDAQ recovered 454.38 points, or 2.9%, to 16,057.64. The three major averages were on track for their best session since Nov. 2022.
Apple, which was among the hardest-hit stocks due to its exposure to China, surged 4% Tuesday. Other megacap tech stocks were higher on the day, Nvidia and Meta Platforms gained around 5% each. Tesla shares also rallied more than 6%, while Amazon and Netflix were up more than 4% each.
Trump posted on Truth Social Tuesday that he had a “great call” with the acting president of South Korea, and that China “also wants to make a deal badly.”
This came after Treasury Secretary Scott Bessent told the media on Tuesday that around 70 countries had approached the U.S. for tariff negotiations.
“If they come to the table with solid proposals, I think we can end up with some good deals,” Bessent said. “And part of the calculus of that may be that some part of the tariffs stay on.”
Prices for the 10-year Treasury gained, lowering yields to 4.21% from Monday’s 4.22%. Treasury prices and yields move in opposite directions.
Oil prices sank 20 cents to $60.50 U.S. a barrel.
Prices for gold leaped $49.00 to $3,022.60 U.S.