TSX Looks to Maintain Streak

Mfg. Sales Up Again


Equity markets in Toronto were hoping Tuesday to build on strong performance of the day before, on promising manufacturing figures.

The TSX muscled up 137.68 points to close Monday at 16,360.14.

The Canadian dollar picked up 0.15 cents Tuesday to 76.04 cents U.S.

On the economic beat, Statistics Canada reported manufacturing sales increased for the third consecutive month, rising 7.0% to $53.1 billion in July.

The Canadian Real Estate Association was due out Tuesday with MLS sales for August.

ON BAYSTREET

The TSX Venture Exchange regained 8.36 points, or 1.1%, Monday to 741.73.

ON WALLSTREET

U.S. stock futures ticked higher early Tuesday after the market kicked off the week with a broad-based rally.

Futures for Dow Jones Industrials raced ahead 186 points, or 0.7%, early Tuesday, to 28,057.

Futures for the S&P 500 jumped 24.75 points, or 0.7%, at 3,397.

Futures for the NASDAQ Composite hiked 118.75 points, or 1.1%, to 11,385.25.

Sentiment was boosted on Monday by positive news on the vaccine front, with AstraZeneca resuming its phase three trial in the United Kingdom and Pfizer CEO Albert Bourla saying over the weekend the company should be able to present key data from its trial to regulators by the end of October.

Optimism about the United States getting a better handle on the virus was a major reason that LPL Financial raised its year-end target for the S&P 500 to a range of 3,450–3,500 on Monday. That target implies an upside of roughly 2% for the market over the rest of the year.

One LPL official said that Monday’s rally was also fueled by the announcement of major deals in the tech space, including Nvidia’s move to buy Arm Holdings from Softbank for roughly $40 billion.

The tech sector could generate more market-moving headlines on Wednesday, with Apple expected to announce new products at a digital-only event. The company is not expected to release a new iPhone, however.

Overseas, in Japan, the Nikkei 225 sank 0.4% Tuesday, while in Hong Kong, the Hang Seng index gained 0.4%.

Oil prices gained 51 cents to $37.77 U.S. a barrel.

Gold prices heightened $13.80 to $1,977.50.