The Toronto Stock Exchange (TSX) has closed at an all-time high, boosted by a rise in commodity prices such as crude oil and gold.
The S&P/TSX Composite Index, Canada’s only major stock exchange, closed at 22,087.26, setting a record high for the first time since 2022.
Year-to-date, the Toronto Stock Exchange is up 5%. It has risen 13% over the last 12 months.
The Toronto index’s previous all-time high was 22,087.22 set in March 2022, when Russia’s invasion of Ukraine sent crude oil prices above $100 U.S. a barrel.
Canadian equities, which are heavily weighted towards resources and mining, have been benefitting from a rise in commodity prices this year.
Crude oil prices are currently above $80 U.S. a barrel, the highest level in four months. At the same time, the price of gold is at an all-time high above $2,200 U.S. an ounce.
Bank stocks, which account for about 30% of the Toronto Stock Exchange’s weighting, have collectively risen 4% year to date.
Markets are also getting a boost as central bankers in the U.S. and Canada signal that interest rates are going to be lowered in coming months.
By comparison, the benchmark S&P 500 stock market index in the U.S. is also at a record high and currently sitting at 5,306.00.
The S&P 500 index has risen 11% so far in 2024 and is up 33% over the last 12 months.
