Equities in Canada’s largest centre opened higher on Tuesday, with information and technology stocks leading the gains, after three straight sessions of heavy selling as investors await potential U.S. tariff negotiations.
The TSX Composite Index finally sprang back to life, gaining 422.41 points, or 1.9%, to commence Tuesday trading at 23,281.87
The Canadian dollar regained 0.34 cents to 70.58 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 85 cents, or 3.4%, to $25.97.
Among techs, Shopify popped $8.13, or 7.2%, to $120.68, while Celestica gathered $7.46, or 7.5%, to $107.89.
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 surged 14.93 points, or 2.6%, to 582.35.
All but two of the 12 TSX subgroups had recovered and had become gainers, led by information technology, picking up 4.2%, gold, shining 2.8% brighter, and materials, stronger 2.5%.
The two laggards proved to be health-care, down 0.9%, and telecoms, off 0.4%.
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 1,402.83 to start Tuesday at 39,368.13.
The S&P 500 index rocketed 201.63 points, or 4%, to 5,263.88.
The NASDAQ recovered 700.09 points, or 4.5%, to 16,303.35. The three major averages were on track for their best session since Nov. 2022.
Megacap tech stocks led the bounce on Tuesday. 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 faded, raising yields to 4.25% from Monday’s 4.22%. Treasury prices and yields move in opposite directions.
Oil prices recovered 65 cents to $61.35 U.S. a barrel.
Prices for gold leaped $51.20 to $3,024.80 U.S.