Equities in Canada’s largest centre rose on Monday, extending its recent gains, as upbeat Chinese data lifted global market sentiment and higher commodity prices fueled a rally in resource stocks.
The S&P/TSX Composite Index came off its highs of the day, but still positive by 27.5 points to reach noon at 15,834.67
The Canadian dollar drooped 0.39 cents to 79.79 cents U.S.
First Quantum Minerals jumped 4.7% at $16.19, while Teck Resources advanced 2.1% at $29.25. Ivanhoe Mines advanced 6.4% at $4.81.
Hudbay Minerals surged 6.4% at $10.54 after Eight Capital raised its third quarter earnings per share estimates and price target.
Canadian Natural Resources was up 1.1% at $41.67.
Bombardier stock rose 1.3% to $2.36. The plane and train maker is continuing to look at strategic options for its aerospace division but no deal is imminent, according to media sources.
On the economic beat, Statistics Canada reported foreign investment in Canadian securities totaled $9.8 billion in August, down from $24.0 billion in July.
At the same time, Canadian investors increased their holdings of foreign securities by $12 billion, led by purchases of U.S. corporate instruments.
ON BAYSTREET
The TSX Venture Exchange edged higher 0.39 points by noon to 798.01
Seven of the 12 TSX subgroups were positive midday, with information technology soaring 0.7%, utilities clicking higher 0.6%, and energy better by 0.3%.
The five laggards were weighed most by gold, off 0.7%, with consumer staples and consumer discretionary stocks down 0.3% each.
ON WALLSTREET
U.S. stocks rose to record highs on Monday as Wall Street looked ahead to the release of Netflix's quarterly results.
The Dow Jones Industrials gained 37.2 points to 22,908.92,
The S&P 500 gained back 1.89 points to 2,555.06, with telecommunications and financials leading advancers.
The NASDAQ hiked 12.56 points to 6,618.37. The three indexes reached record intraday highs shortly after the open.
The three major indexes are up at least 17% in 2017.
Netflix is expected to release its third-quarter earnings shortly after the bell. Netflix's stock hit a record high last week after analysts at Goldman Sachs predicted the company will post subscriber gains above expectations. Netflix shares traded 0.2% lower by noon ET it hit a record high earlier in the session.
Earnings season kicked off last week with JPMorgan Chase, Citigroup and Bank of America releasing their results. Goldman Sachs, Morgan Stanley, Verizon and Honeywell are among the companies set to report this week.
Investors' hopes of corporate tax reform have increased recently, after the House passed a $4.1-trillion U.S. budget earlier this month. The Senate is expected to vote on the budget this week.
Prices for the benchmark 10-year Treasury note lost ground, lowering yields to 2.29% from Friday’s 2.28%. Treasury prices and yields move in opposite directions.
Oil prices strengthened 26 cents a barrel to $51.71 U.S.
Gold prices gained $1.10 to $1,305.70 U.S. an ounce
