Stocks in Toronto rose early Tuesday, led by energy stocks, while financials were slightly higher following the release of fourth-quarter results from two major banks.
The S&P/TSX composite index gained 73.77 points to open Tuesday’s session at 13,543.60.
The Canadian dollar nicked up 0.03 cents to 74.88 cents U.S.
Bank of Nova Scotia, Canada's third-largest bank, reported a higher quarterly profit that beat market expectations, driven by robust asset growth and a benefit from favorable foreign exchange moves.
Scotiabank shares shed 12 cents to $60.77.
Canadian Oil Sands Ltd set a capital expenditure target of $295 million for 2016, down about 35% from the estimated budget for 2015, saying the Syncrude oil sands project would help raise output at lower costs.
COS shares gained 24 cents, or 2.8%, to $8.80.
RBC cut the price target on Jean Coutu Group to $20.00 from $24.00. Coutu shares dipped nine cents to $17.79.
Goldman Sachs raises the rating on Cenovus Energy to neutral from sell. Cenovus shares galloped 70 cents, or 3.5%, to $20.46.
Statistics Canada reported that the economy grew in the third quarter, with gross domestic product up 0.6% in the third quarter, following two consecutive quarterly declines. The nation’s number crunchers reported that quarterly growth was driven by more international demand for our goods and services as exports grew 2.3%.
On a monthly basis, GDP fell 0.5% in September, primarily as a result of the declines in mining, quarrying, and oil and gas extraction and, to a much lesser extent, manufacturing.
Sticking with items economic, RBC announced a slight gain in its manufacturing Purchasing Managers’ Index for November over the month before.
Canada’s biggest bank told us that, at 48.6 last month, the seasonally adjusted PMI picked up from a survey-record low of 48.0 during October, but still below its 49.5-point monthly average for the year so far.
RBC cites the main factor boosting the headline index in November was a much slower decline in production volumes than seen during the previous month.
ON BAYSTREET
The TSX Venture Exchange moved 0.76 points higher to begin the session at 524.23.
All but two of the 13 TSX subgroups were higher, with energy climbing 1.6%, information technology, up 1.5%, and utilities, taking on 1.1%.
The two laggards were health-care, fading 1.6%, and gold, sagging 0.5%.
ON WALLSTREET
U.S. stocks traded higher on Tuesday, the first day of trade for December, as investors eyed some data reports ahead of major central bank news expected later in the week.
The Dow Jones industrial average sprang back to life 133.02 points to 17,852.94, climbing into positive territory for the year in intraday trade. Boeing gained most, followed by UnitedHealth, Goldman Sachs and Travelers Cos.
The S&P 500 recovered 18.14 points to 2,098.55. Health care gained nearly 1% to surpass financials as the top gainer in the S&P 500 as all sectors gained.
The NASDAQ index hiked 37.56 points to 5,146.23
Amazon.com traded more than 1% higher after the firm said it had a record sales weekend for Amazon-made devices such as its Fire tablets, Fire TVs, and its Amazon Echo digital assistant.
Stocks came off session highs after U.S. ISM November Manufacturing PMI came in at 48.6, in contraction territory and below the expected 50.5 read.
Construction spending rose 1% for October, topping estimates of 0.6%.
The U.S. Markit PMI for November was 52.8, above the flash read of 52.6 but below the final October print of 54.1.
Monthly auto sales are released throughout the day.
Prices for 10-year U.S. Treasuries gained ground, lowering yields to 2.18% from Monday’s 2.21%. Treasury prices and yields move in opposite directions.
Oil prices picked up 12 cents a barrel to $41.77 U.S.
Gold prices took on $2.28 to $1,067.05 U.S. an ounce.
