Canada’s main stock index rose to an eight-week high on Friday, driven by the gains in energy stocks, while data reflecting cooling domestic inflation stoked fresh hopes that the Bank of Canada was done with monetary tightening.
The TSX Composite soared 115.98 points to observe noon hour EST at 20,169.05.
The Canadian dollar nicked ahead 0.1 cents at 72.80 cents U.S.
Among companies, First Quantum’s shares gained 31 cents, or 2.1%, to $15.40 after the workers’ union for its unit in Panama said it reached an agreement with the company that guarantees salaries as protests and blockades disrupted operations.
Software firm Blackberry said it would provide a full suite of cybersecurity solutions to the government of Malaysia in a milestone long-term deal. Shares prospered 41 cents to $52.08.
On the economic slate, Statistics Canada says its raw materials index declined 2.5% on a monthly basis in October and fell 0.8% year over year, while the industrial product price index fell 1.0% month over month in October and was 2.7% lower than in October 2022.
Moreover, foreign investors reduced their holdings of Canadian securities by $15.1 billion in September, mainly due to retirements of bonds. Meanwhile, Canadian investors acquired $11.6 billion of foreign securities, ending the third quarter with the largest investment since the fourth quarter of 2021.
ON BAYSTREET
The TSX Venture Exchange progressed 4.8 points to 523.68.
The 12 TSX subgroups were divided equally between gainers and losers, as energy gushed 2.5%, health-care, better by 1.1%, and consumer discretionaries improved 0.7%.
The half-dozen laggards were weighed most by gold, down 0.6%, materials, off 0.5%, and real-estate, sliding 0.1%.
ON WALLSTREET
Stocks fell slightly Friday but remained on course for another weekly gain, as the November rally carries on.
The Dow Jones Industrials dropped 39.2 points to move into afternoon at 34,906.27.
The S&P 50 index fell 3.12 points to 4,505.12.
The NASDAQ sank 22.28 points to 14,091.39.
The major averages are all on pace for their third straight positive week. The S&P 500 and the NASDAQ are up more than 1.9% through Thursday’s close, while the Dow is on pace for a 1.8% rise. This would be the first three-week win streak for the Dow and S&P 500 since July, and the first since June for the NASDAQ.
Those gains were sparked by tame U.S. inflation data that gave hope to investors that the worst of inflation — as well as the Federal Reserve’s tough stance on rate policy — may be in the rearview mirror.
Stocks have been on a tear this month. In November, the S&P 500 is up 7.5%, while the Dow has a 5.7% gain. The NASDAQ has leapt 9.7%.
Those gains were sparked by tame U.S. inflation data that gave hope to investors that the worst of inflation — as well as the Federal Reserve’s tough stance on rate policy — may be in the rearview mirror.
The question is whether traders will be able to maintain that optimism for the remainder of the month. In November, the S&P 500 is up 7.5%, while the Dow has a 5.7% gain. The NASDAQ has leapt 9.8%.
Gap shares leapt 32% after the company posted better-than-expected results for the third quarter. Electric vehicle charging network ChargePoint slid 34% after announcing a shake-up in its C-suite and cutting its forecast for third-quarter revenue.
Prices for the 10-year Treasury fell, raising yields to 4.46% from Tuesday’s 4.45%. Treasury prices and yields move in opposite directions.
Oil prices grew $2.35 to $75.25 U.S. a barrel.
Gold prices slumped $3.80 to $1,983.50.
