Canada's main stock index gained more than 1% in morning trade on Tuesday, helped by a jump in copper prices as weak Chinese data prompted bets that Beijing would move to stimulate the world's second-largest economy.
The S&P/TSX composite index was off its highs of the morning, but still positive 145.65 points, or 1.1%, to greet noon at 13,623.96
The Canadian dollar recouped 0.38 cents to 75.54 cents U.S.
The materials group, which includes miners, climbed, with First Quantum Minerals Ltd surging 13.1% to $7.01 and Teck Resources Ltd advancing 7.2% to $8.75.
Copper climbed 3% after the data, which while mostly negative showed copper imports holding up.
The metal has rebounded about 9% since touching a six-year low in late August, largely on fears of a hard landing in China.
The most influential movers on the index included several of its biggest banks, with Royal Bank of Canada rising 1.1% to $71.67, and Bank of Nova Scotia adding 1.7% to $59.49.
Manulife Financial Corp rose 1% to $20.43 and Brookfield Asset Management advanced 1.5% to $41.25.
ON BAYSTREET
The TSX Venture Exchange remained higher 3.96 points to 556.57
All but one of the 14 TSX subgroups were higher, led by metals and mining, ballooning 8.8%, global base metals, 4.5% mightier, and materials, better by 1.8%.
The lone laggard was health-care, down 2.3%.
ON WALLSTREET
U.S. stocks traded sharply higher Tuesday, trying for recovery after the long weekend and their second-worst week for the year.
The Dow Jones industrial average moved skyward 276.39 points, or 1.7%, to 16,361.35. Intel and Wal-Mart surged more than 2.5% to lead nearly all blue chips higher.
The S&P 500 climbed 27.75 points, or 1.4%, to 1,948.97.
The NASDAQ index leaped 79.54 points, or 1.7%, to 4,763.46, to travel into the black for 2015, while the other indices remained negative. Apple briefly gained more than 2.5%, helping information technology lead all 10 S&P 500 sectors higher.
On matters macroeconomic, the National Federation of Independent Business said on Tuesday its Small Business Optimism Index rose modestly in August, up half a point to 95.9. The gain suggests the economy continued to grow at a steady clip halfway through the third quarter.
Data released Tuesday showed China's dollar-denominated exports declined by 5.5% year-on-year in August, while imports tumbled 13.8%.
On Monday, China's foreign exchange reserves posted their biggest monthly fall on record in August, reflecting Beijing's attempts to halt a slide in the yuan and stabilize financial markets following its surprise move to devalue the currency last month.
Prices for 10-year U.S. Treasuries faltered, raising yields to 2.19% from Friday’s 2.13%. Treasury prices and yields move in opposite directions.
Oil prices slid six cents a barrel to $45.99 U.S.
Gold prices grew $3.50 to $1,124.9 0 U.S. an ounce.
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