Stocks in Canada’s largest centre climbed on Tuesday as health-care gains outdistanced those in the materials world, and overwhelmed losses in energy stocks.
The S&P/TSX Composite Index gained 70.01 points to close Tuesday at 16,122.25
The Canadian dollar ditched 0.29 cents at 77.07 cents U.S.
Health-care stocks led the charge, with Valeant Pharmaceuticals hiking $1.97, or 6.9%, to $30.40, while Aphria Inc. gathered 16 cents, or 1.3%, to $12.19.
Leading the materials group were shares of copper miner First Quantum Minerals, which rose 60 cents, or 2.9%, to $21.31, while Hudbay Minerals jumped 29 cents, or 3.5%, to $8.65.
In the gold sector, Barrick Gold climbed 19 cents, or 1.1%, to $16.86, while Goldcorp took on 31 cents, or 1.7%, to $18.22.
One of the few sour notes was struck in the energy sector, where Canadian Natural Resources faltered five cents to $43.76, while Imperial Oil lost nine cents to $41.63.
Economic data showed that Canadian labour productivity fell by 0.3% in the first quarter, a deceleration in business output and acceleration in hours worked, from the previous quarter.
The International Monetary Fund said on Monday that while Canada's economy has performed well, it faces significant risks including trade tensions and a potential hit to competitiveness from lower U.S. corporate taxes.
ON BAYSTREET
The TSX Venture advanced 6.09 points to 767.85
All but two of the 12 TSX subgroups gained ground, with health-care ahead 3.1%, materials better by 1.5%, and gold climbing 1%.
The pair of stragglers were energy, down 0.1%, and utilities, off 0.04%.
ON WALLSTREET
The NASDAQ composite reached an all-time intraday high on Tuesday, led by tech shares, while the rest of the market struggled for gains amid U.S. trade tensions.
The Dow Jones Industrials came off its lows of the morning, but was still negative 13.71 points, by day’s end, to 24,799.98, with Wal-Mart as the worst-performing stock in the index.
The S&P 500 poked ahead 1.93 points to 2,748.80. The two indexes fell as Wall Street fretted over tensions between the United States and some of its key trading partners.
The NASDAQ gained 31.4 points to 7,637.86, as Facebook, Amazon and Netflix all traded higher. Mylan also contributed to the gains, rising 5.5% after the Food and Drug Administration approved Fulphila as a biosimilar drug to Neulasta, which aims at reducing the risk of infections during cancer treatment.
Tuesday's gains for the NASDAQ come after the index posted a record closing high for the first time since March 12 in the previous session as Amazon and Apple climbed to all-time highs.
Last week, the Trump administration slapped tariffs on steel and aluminum imports from the European Union and Canada. The E.U. threatened the same, saying it would impose countermeasures of its own, while Canadian Foreign Minister Chrystia Freeland said the
country plans to slap dollar-for-dollar tariffs on the U.S. Mexico, meanwhile, unveiled tariffs of its own Tuesday, targeting products like pork,
cheese and steel.
Leaders from seven of the largest economies in the world are meeting in Canada this week, with trade discussions expected to be at the forefront.
In data, the Institute for Supply Management non-manufacturing index reached 58.6 in May, above an expected print of 57.6. A reading above 50 indicates expansion in the service sector while a reading below 50 signals contraction.
Prices for the benchmark for the 10-year U.S. Treasury eked higher, dropping yields to 2.91% from Monday’s 2.94%. Treasury prices and yields move in opposite directions.
Oil prices regained 60 cents at $65.35 U.S. a barrel.
Gold prices prospered $4.10 to $1,301.40 U.S. an ounce.
