Energy Drives TSX to Recovery from Monday Losses

Equities in Toronto rose on Tuesday, helped by gains in energy stocks, as oil prices hit an 11-month high on tighter supply and hopes of a drop in U.S. stockpile.

The TSX added 51.35 points to end Tuesday’s session at 17,985.80.

The Canadian dollar moved higher 0.36 at 78.65 cents U.S.

Energy stocks soared, most notably, ARC Resources, zooming 49 cents, or 7.6%, to $6.93, while Husky Energy rocketed 33 cents, or 5.1%, to $6.76.

In financials, CI Financial Corp. jumped $1.02, or 6.2%, to $17.46, while IGM Financial leaped $1.07, or 3%, to $36.39.

Resource stocks had an uprising Tuesday, as Nutrien sprang up $3.85, or 5.9%, to $69.46, while ERO Copper captured $1.06, or 5.2%, to $21.66.

Communications stocks got bruised and bruised hard, as Quebecor lost $1.06, or 3.3%, to $31.05, and Shaw Communications slid 27 cents, or 1.2%, to $22.55.

In consumer staples, Saputo was pounded 84 cents, or 2.3%, to $36.31, while Maple Leaf Foods gave up 29 cents, or 1.1%, to $26.59.

In health-care Canopy Growth tumbled 70 cents, or 1.7%, to $39.44, while Trillium Pharmaceuticals surrendered 29 cents, or 1.6%, to $18.09.

ON BAYSTREET

The TSX Venture Exchange gained 13.28 points, or 1.5%, to 898.61.

Eight of the 12 subgroups were in the red, as communications went south 1%, consumer staples lost 0.6%, and health-care dipped 0.3%.

The four gainers were led by energy, progressing 2%, financials, better by 0.7%, and materials, improving 0.5%.

ON WALLSTREET

Stocks closed along the flatline on Tuesday as interest rates touched their highest levels in months amid increasing prospects for more coronavirus stimulus under the incoming Biden administration.

The Dow Jones Industrials progressed 60 points to 31,068.69. Shares of Goldman Sachs rose 2.9% to lead the Dow higher. JPMorgan Chase added 1.6%, and Bank of America was up 1.8%. Charles Schwab gained 1.6% and hit an all-time high.

The S&P 500 eked ahead 1.58 points to 3,801.19.

The NASDAQ gained 36 points to 13,072.43. Losses from major tech companies kept Tuesday’s moves in check. Facebook fell 2.2%, and Alphabet slid 1.1%. Microsoft and Apple also lost more than 1%.

Last week, the major averages rallied to all-time highs as Wall Street shrugged off riots at the U.S. Capitol that led to the House Democrats introducing an article of impeachment on Monday against President Donald Trump for inciting the attack.

Since then, several social media companies have suspended or banned Trump from their platforms. In some cases, this has put pressure on their stocks. Twitter fell 2.4% on Tuesday, and is down 8.6% this week. Facebook has lost 6.2% week to date.

Prices for the 10-Year Treasury revived, lowering yields back to Monday’s 1.14%. Treasury prices and yields move in opposite directions.

Oil prices advanced 89 cents to $53.14 U.S. a barrel.

Gold prices moved ahead $5.30 to $1,856.10 U.S. an ounce.