Canada's benchmark stock index extended gains for a second-straight session on Tuesday to its highest in a week, helped by gains in energy and financial shares, after data showed consumer inflation in February had eased more than expected.
The TSX came off its highs of the morning, but remained buoyant 157.59 points, to pause for lunch Tuesday at 19,677.02.
The Canadian dollar slid 0.29 to 72.86 cents U.S.
Among stocks, First Majestic Silver Corp slumped $2.51, or 24.7%, to $7.67, on suspending all mining activities at Jerritt Canyon, which accounted for about 21% of the firm's 2022 sales.
The gain in the tech sector was aided by a 3.9% surge in BlackBerry on its mobile-device patents sale to Malikie Innovations Ltd, for up to $900 million. Shares in the company once known as Research in Motion surged 21 cents, or 4.3%, to $5.15.
On the economic board, Statistics Canada’s consumer price index rose 5.2% on a year-over-year basis in February, following a 5.9% increase in January. On a seasonally adjusted monthly basis, the CPI rose 0.1% in February.
ON BAYSTREET
The TSX Venture Exchange slid three points to 604.28.
Eight of the 12 TSX subgroups were in positive territory mid-Tuesday, led by health-care, soaring 5.1%, energy, rumbling 2.4%, and information technology, up 1.6%.
The three laggards were gold, down 3.1%, materials, off 1.4%, and utilities, faltering 0.3%.
Communications stocks were unchanged by noon hour.
ON WALLSTREET
Stocks rose Tuesday, building on Monday’s rally. Traders continued to become optimistic following Treasury Secretary Janet Yellen’s latest reassurances to contain the banking crisis.
The Dow Jones Industrials launched 127.65 points to 32,375.09.
The S&P 500 tacked on 20.8 points to 3,972.37.
The NASDAQ Composite jumped 69.72 points to 11,745.26.
Regional banks surged Tuesday, led by First Republic. The beaten-down bank jumped 39.9%, a day after losing 47%. Regionals got a boost after Treasury Secretary Janet Yellen said Tuesday morning that the government is ready to provide further guarantees of deposits if the banking crisis worsens.
Investors now expect a slower pace of tightening from the Federal Reserve in light of the banking crisis. Traders now are pricing in a 83% chance of a quarter-point rate hike when the Fed wraps its two-day policy meeting on Wednesday. The probability of a pause is at 16.6%.
Prices for the 10-year Treasury slid, raising yields to 3.57% from Monday’s 3.49%. Treasury prices and yields move in opposite directions.
Oil prices regained 56 cents to $68.20 U.S. a barrel.
Gold prices stumbled $31.40 to $1,951.40 U.S. an ounce.
