Wednesday was another positive day for markets in Toronto, as health-care combined with gold to pull equity markets along.
The TSX Composite Index gained 62.27 points to conclude Wednesday at 17,415.17.
The Canadian dollar eked up 0.12 cents to 76.64 cents U.S.
Health-care stocks again proved the standout Wednesday, with HEXO surging 30 cents, or 14.4%, to $2.38, while Aurora Cannabis leaped 31 cents, or 13.3%, to $2.64.
Golds shone, too, with Kinross Gold rocketing 22 cents, or 3.8%, to $6.06, while Novagold improved 50 cents, or 4.6%, to $11.46.
Real-estate issues also triumphed, as Canadian Apartment Real Estate Investment Trust units gained $1.81, or 3.4%, to $54.80, while First Capital REIT picked up 67 cents, or 3.3%, to $21.12.
Energy missed the party, however, as Enerflex docked 41 cents, or 3.6%, to $11.10, while Crescent Point Energy doffed 18 cents, or 3.1%, to $5.61
Consumer discretionary finished on the wrong side of breakeven, as Martinrea International ditched 22 cents, or 1.6%, to $13.82, while Canada Goose Holdings shed 55 cents, or 1.2%, to $44.52.
ON BAYSTREET
The TSX Venture Exchange added 2.58 points to 577.01
All but two of the 12 TSX subgroups remained positive on the day, with health-care popping 4.2%, gold clicking 1.7%, and real-estate climbing 1.4%.
The two laggards were energy, down 1.1%, and consumer discretionary stocks faded 0.1%.
ON WALLSTREET
Stocks rose on Wednesday, but gave up most of their gains heading into the close even after the U.S. and China signed a highly anticipated phase-one trade agreement as most of the details were already known and investors anticipated some speed bumps on the way to phase two’s signing.
The Dow Jones Industrials increased 90.55 points to 29,030.22
The S&P 500 gained 6.14 points to 3,289.29
The NASDAQ prospered 7.37 points to 9,258.70.
Looking at earnings, Bank of America reported quarterly results that beat analyst expectations as bond-trading revenue ripped higher.
Goldman Sachs posted quarterly revenue that surpassed projections. BlackRock, UnitedHealth and PNC Financial also posted earnings that beat analyst expectations.
So far, about 30 S&P 500 companies have released their quarterly numbers. Of those companies, 82% have posted better-than-expected profits.
Expectations for corporate profits were downbeat heading into the reporting period. Experts estimated S&P 500 earnings to have fallen 2% in the fourth quarter on a year-over-year basis.
What’s more, Target shares dropped more than 7% after the retailer announced disappointing holiday same-store sales. Target said its same-store sales during the holidays rose just 1.4%, compared to growth of 5.7% from the prior year.
Also helping sentiment Wednesday morning were comments from White House economic advisor Larry Kudlow, who said the Trump administration would unveil more tax cuts later this year.
The U.S.-China trade agreement includes provisions to curb intellectual property theft along with forced technology transfers. It also increases Chinese purchases of U.S. products.
Investors had been eagerly awaiting the signing of the so-called phase-one trade agreement as the conflict between the world’s largest economies has dragged on for nearly two years.
To be sure, the deal does not remove existing U.S. tariffs on Chinese imports and leaves questions as to how the terms of the agreement will be enforced. The deal is also seen as "fragile" by some analysts who believe additional levies could still be implemented.
Prices for the 10-Year U.S. Treasury gained, lowering yields to 1.78% from Tuesday’s 1.81%. Treasury prices and yields move in opposite directions.
Oil prices slid 29 cents to $57.94 U.S. a barrel.
Gold prices improved $11.90 to $1,556.50 U.S. an ounce.
