Canada's main stock index rose on Monday as energy and materials stocks tracked gains in commodities, while data showed that the domestic manufacturing activity grew at a faster pace in February than in the prior month.
The TSX climbed 267.44, or 1.5%, to greet noon EST Monday at 18,327.70.
The Canadian dollar picked up 0.23 cents to 78.98 cents U.S.
The largest percentage gainer on the TSX was CAE Inc., which jumped $4.93, or 14.6%, to $38.61, after the civil aviation training company agreed to buy L3Harris Technologies’ military training division for $1.05 billion.
Sprott Inc. hiked $2.59, or 5.9%, to $46.89, after the asset management firm announced the renewal of normal course issuer bid.
Cargojet fell $18.47, or 9.7%, the most on the TSX, to $172.61, after the company reported fourth-quarter results and the second biggest decliner was food products producer Maple Leaf Foods, down 57 cents, or 2.2%, to $25.81.
On the economic front Markit Canada reported its Manufacturing Purchasing Managers’ Index registered 54.4 in January, down sharply from 57.9 in December.
ON BAYSTREET
The TSX Venture Exchange recharged 21.2 points, or 2.1%, to 1,039.70.
All 12 TSX subgroups gained ground, as health-care sprinted 3.9%, consumer discretionary soared 2.4%, and industrials proved 2.3% stronger.
ON WALLSTREET
The Dow Jones Industrial Average headed for its biggest gain in nearly four months, jumping more than 2% as Treasury yields retreated.
The Dow Jones Industrials surged 637.78 points, or 2.1%, to move into noon hour at 31,570.15, led by Boeing which climbed 6.8% and put the plane maker on pace for its best day since Nov. 9.
The S&P 500 recouped 86.7 points, or 2.3%, to 3,897.83, as all 11 sectors traded in the green.
The NASDAQ Composite spiked 316.17 points, or 2.4%, to 13,508.51.
Boosting sentiment on the vaccine front, the Centers for Disease Control and Prevention advisory panel voted unanimously Sunday to recommend the use of Johnson & Johnson’s one-shot COVID-19 vaccine for people 18 years of age and older. The company expects to ship four millions doses initially.
Last week, the blue-chip Dow and S&P 500 lost 1.7% and 2.5%, respectively. The technology-heavy NASDAQ dropped more than 4% during the same period, after suffering its worst one-day sell-off since October on Thursday. Technology companies rely on being able to borrow money for a low rate in order to invest in future growth.
The major averages rose for the month of February, bolstered by a strong earnings season, positive news on the vaccine rollout and hopes of another stimulus package.
The Dow gained 3.2% for its third positive month in four in February. The S&P 500 gained 2.6% and the NASDAQ gained nearly 1% for its fourth positive month in a row.
On the stimulus front, the House of Representatives passed a $1.9-trillion COVID relief bill, the American Rescue Plan Act of 2021, early Saturday. The Senate will now consider the legislation.
Prices for 10-Year Treasurys dropped a bit, boosting yields to 1.44% from Friday’s 1.41%. Treasury prices and yields move in opposite directions.
Oil prices shied away 12 cents to $61.38 U.S. a barrel.
Gold prices jumped $1.90 to $1,730.70
