Equities in Canada’s largest market squirted higher on Monday, as gains in resource stocks overrode losses in the industrial sector,
The S&P/TSX Composite Index acquired 13.53 points Monday to begin the week at 16,052.79
The Canadian dollar shed 0.18 cents to 78.61 cents U.S.
Stelco Holdings’s chief executive says the company is banking on growth from ramped-up production and acquisitions, as the 107-year-old company completed its initial public offering.
Stelco shares gained 16 cents to $19.47.
Canaccord Genuity downgraded Alterra Power to hold from buy. Shares in Alterra dropped two cents to $7.60.
Desjardins cut the rating on Dream Global REIT to hold from buy. Dream Global units fell five cents to $11.35.
The federal government proposed on Friday that it split equally the income from excise taxes on recreational marijuana with the provinces where it will be sold when it is legalized next year, drawing criticism from Ontario
ON BAYSTREET
The TSX Venture Exchange regained 3.51 points to 799.99
All but three of the 12 TSX subgroups were higher in the first hour of trading, as materials hiked 0.9%, while gold gained 0.6%, and consumer discretionary issues traveled higher 0.3%.
The three laggards were industrial and utilities stocks, each off 0.2%, and financials, down 0.1%.
ON WALLSTREET
U.S. equities traded mostly lower on Monday with investors worried that tax reform may not arrive in 2017.
The Dow Jones industrial average recovered 17.26 points to 23,439.47, with General Electric as the biggest decliner in the 30-stock index.
General Electric slashed its dividend by 50% as CEO John Flannery tries to turn around the 125-year-old conglomerate. The company also issued lower-than-expected guidance for 2018. The stock fell more than 3%.
The S&P 500 squeezed up 0.81 points to 2,583.11, with industrials as the biggest declining sector. GE shares were the worst-performing stocks in the S&P 500.
The NASDAQ Composite inched higher 0.62 points to 6,751.56
Earnings rolled again Monday, with Tyson Foods and JD.com reporting quarterly results before the open. Switch is set to report after the bell.
Elsewhere, there is no major economic data set for release Monday, but investors are looking ahead to key inflation data due later in the week.
There are also worries that, even if tax reform gets done, a corporate tax cut could be delayed until 2019. These concerns came about after the Senate unveiled its own tax reform bill. In contrast, a House bill would slash the corporate rate immediately. The House wants to vote on its bill this week.
Prices for the benchmark 10-year Treasury note made slight gains, lowering yields to 2.39% from Friday’s 2.4%. Treasury prices and yields move in opposite directions.
Oil prices moved ahead 27 cents a barrel to $57.01 U.S.
Gold prices gained $3.20 an ounce to $1,277.40 U.S.
