Equities in Canada’s largest got their mojo back early Tuesday afternoon, amid all the swirl over tariffs and counter-tariffs offered up by Canada and the U.S. on each other.
The TSX reversed and surged 216.04 points to reach noon EDT Tuesday at 36,930.16
The Canadian dollar eked higher 0.03 cents to 72.28 cents U.S.
BMO Financial reported a rise in third-quarter profit on Tuesday, driven by strong performance in its capital markets business.
BMO shares captured a dime to $238.71
Bank of Nova Scotia also posted a rise in third-quarter profit, helped by higher interest income.
Scotiabank shares popped $6.37, or 5.3%, to $127.61.
Technology shares were lifted by a gain of $1.15, or 6.1%, $19.94, in Firan Tech Group.
The results add to a broader rally in bank stocks, which have outperformed the TSX this year. The financial sector hit its highest level in eight years earlier this month.
Focus is also on U.S.-Canada trade tensions after President Donald Trump on Monday threatened to raise U.S. tariffs on all cars, trucks and automotive parts from Canada to 50% starting January 1, 2027 — escalating a trade fight after negotiations collapsed last week.
The deal on the table would have cut the top-line tariff rate on Canadian cars and light-duty trucks to 15% from 25% and the tariffs on aluminum and steel to 25% from 50%.
ON BAYSTREET
The TSX Venture Exchange jumped 8.47 points to 1,002.40.
Seven of the 12 TSX subgroups hesitated, weighed most by energy, down 1.3%, while consumer discretionary stocks doffed 1.1%, and real-estate lost 0.9%.
The five gainers were led by gold, hiking 1.6%, materials, better by 1.3%, and financials, up 1%.
ON WALLSTREET
The S&P 500 rose slightly Tuesday, as Treasury yields fell for a second day. A rally in semiconductor stocks lifted the NASDAQ Composite.
The Dow Jones Industrials added 43.56 points to break for lunch at 53,460.72.
The much-broader index added 11.52 points to 7,664.38.
The NASDAQ Composite remained solvent 113.15 points to 26,093.34.
Chip stocks rallied, ahead of Nvidia’s results due out after the close on Wednesday. Shares of the Jensen Huang-helmed company were up more than 1%. Advanced Micro Devices and Micron Technology added 3% each. Intel advanced more than 2%.
Consumer names were a notable laggard, with shares of Dick’s Sporting Goods plunging more than 27% following disappointing results.
The sports equipment retailer is on pace for its worst day on record. Other retailers such as Walmart and Target were also under pressure, falling 1% and 3%, respectively.
Canada on Tuesday announced retaliatory tariffs against the United States, with the government saying it will match the 50% levies that President Donald Trump imposed over the weekend “dollar for dollar.”
Prices for the 10-year Treasury strengthened, lowering yields to 4.64% from Monday’s 4.70%. Treasury prices and yields move in opposite directions.
Oil prices skidded $3.25 to $81.76 U.S. a barrel.
Gold prices slid $14.30 to $4,712.10 U.S. an ounce.
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