Equities in Canada’s largest centre advanced mildly on Thursday as energy stocks rose on higher crude prices and financials gained on upbeat big bank earnings while investors parsed through more domestic and U.S. economic data.
The TSX Composite inched higher 5.33 points to make it into noon hour EST Thursday at 20,121.53.
The benchmark Canadian index is set to snap a four-month losing streak, eyeing monthly gains of over 6%, as global markets made gains on hopes that major central banks were nearing the end of interest rate hikes.
The Canadian dollar regained 0.09 cents at 73.67 cents U.S.
Heavyweight financials strengthened. Royal Bank of Canada jumping $3.23, or 2.7%, to 122.04, and the Canadian Imperial Bank of Commerce advanced $2.21, or 4.1%, to $55.57, after beating quarterly profit estimates.
Canada's second-largest lender, TD Bank Group, however, fell $1.27, or 1.5%, to $82.03 after missing fourth-quarter profit estimates.
Among other individual stocks, powersports vehicle maker BRP slumped $12.84, or 13.5%, to $82.16, after trimming its full-year adjusted profit forecast.
In matters economic, Statistics Canada reported real gross domestic product declined 0.3% in the third quarter, following a 0.3% increase in the second quarter. Real GDP edged up 0.1% in September on the strength of the increase in goods-producing industries.
Elsewhere, the number of employees receiving pay and benefits from their employer increased by 22,100 (or 0.1%) in September, following a decline of 16,500 in August and little change in July.
ON BAYSTREET
The TSX Venture Exchange slid 2.65 points to 534.52.
All but three of the 12 TSX subgroups were lower, with consumer staples and information technology each diving 0.8%, and energy off 0.5%.
The three gainers were communications, up 1%, financials, richer by 0.6%, and industrials, ahead 0.3%.
ON WALLSTREET
The Dow Jones Industrial Average rallied Thursday to a new high for the year, as more cooling inflation data and strong Salesforce earnings capped the benchmark’s best month since October 2022.
The 30-stock index gained 301.51 points to break for lunch Thursday at 35,731.93, surpassing its previous high for the year in August.
The S&P 500 slid 6.2 points to 4,544.39.
The Dow is closing out November with an 8% gain, ending a three-month losing streak. The S&P 500 is also up more than 8% in November, while the NASDAQ has advanced roughly 10%. Both averages are tracking for their best monthly performance since July 2022. The S&P 500 and NASDAQ Composite were trading about 1% away from their respective 2023 highs.
Data released early Thursday showed that the personal consumption expenditures price index—the Federal Reserve’s favorite inflation gauge—rose in line with expectations in October, gaining 0.2% for the month and 3.5% on a year-over-year basis. The numbers could provide an incentive for the Fed to hold rates steady, before lowering them in 2024.
Prices for the 10-year Treasury sank, raising yields to 4.33% from Wednesday’s 4.27%. Treasury prices and yields move in opposite directions.
Oil prices lost $2.27 to $75.59 U.S. a barrel.
Gold prices lost nine dollars to $2,038.10.
