Stocks in Canada’s largest market soared past a new milestone Monday, clearing the 16,000 mark and staying there till the closing bell, largely on the strength of health-care and energy gains.
The S&P/TSX Composite Index gained 49.27 points to finish off Monday at 16,002.78
The Canadian dollar squeezed ahead 0.05 cents to 77.98 cents U.S.
The benchmark index broke the last intraday record set in February on Friday and also closed that day at a record high.
Health-care stocks enjoyed better readings, as Canopy Growth was up $2.42, or 18.9% to $15.21, on news that Corona beer maker Constellation Brands Inc bought a nearly 10% stake in the company.
Rival Aphria bolted 53 cents, or 7.9%, higher to $7.28.
Canadian Natural Resources advanced $1.24, or 2.9%, to $44.63, while Crescent Point Energy Corp gained 68 cents, or 7.2% to $10.15.
Precision Drilling Corp jumped 45 cents, or 13.8%, to $3.71, extended Friday’s gains fueled by a narrower-than-expected quarterly loss.
Gold shares increased, as Goldcorp gained 34 cents, or 2%, to $17.15, and Kinross Gold scraped up four cents to $5.12.
On the downside, consumer staples stocks such as Saputo, which gained on Friday after announcing it was buying Australian diary company Murray Goulburn, gave back some of those advances, falling $1.06, or 2.2% to $46.42 as some analysts cut their ratings on the Canadian dairy producer.
Restaurant Brands International faded 74 cents to $82.84.
Industrials also had a rough time of it, with Magna International dipping 14 cents to $69.80, and Bombardier shaving off two cents to $2.76.
ON BAYSTREET
The TSX Venture Exchange fell below breakeven 3.22 points to 784.16
All but three of the 12 TSX subgroups were positive Monday, with health-care sprinting 3.5%, energy stocks gushing 1.7%, and gold shinier 1%
The three laggards were real-estate and consumer staples, each down 0.5%, while industrial stocks surrendered 0.3%.
ON WALLSTREET
Stocks fell on Monday after a report surfaced saying the House is considering a plan that would gradually lower the U.S. corporate tax rate.
The Dow Jones industrial average eased off from its dizzy heights 85.45 points to close the session at 23,348.74,
The S&P 500 dropped 8.24 points from Friday’s all-time high to 2,572.83. GM and Advanced Micro Devices were among the worst performers in the S&P 500.
The NASDAQ dropped off from Friday’s all-time by 2.3 points to 6,698.96.
Expectations of tax cuts have increased recently after the House passed a budget plan backed by the Senate. The budget's approval in the House lets the Senate pass with a simple majority.
Shares of Advanced Micro Devices fell 8% after Morgan Stanley analysts warn demand for cryptocurrency mining chips will be cut in half.
General Motors pulled back 2.8% after Goldman Sachs downgraded the stock to sell, noting it sees a 28% downside over the next 12 months for the stock.
Shares of GM have handily outperformed the broader market, rising 28.1% year to date. AMD shares, meanwhile, have lagged the S&P 500 in 2017, having gained 4.4%. The S&P 500 is up 15.3% in 2017.
A slew of corporate deals were also announced on Monday. Lennar said it was buying CalAtlantic for $9.3 billion, creating the largest U.S. homebuilder. Lennar's stock dropped 3.5% while CalAtlantic shares gained 22%.
For-profit colleges Strayer and Capella also agreed to merge in a stock-swap deal. Strayer shares gained 9% while Capella's stock rose 30.5%.
Wall Street will have its hands full with earnings again this week, with Apple, Starbucks, Qualcomm and Tesla, among others, set to report.
In all, 55% of the S&P 500 has reported as of Monday morning, with 74% of those companies beating estimates on the bottom line while 66% have topped sales expectations
Prices for the benchmark 10-year Treasury note gained ground, lowering yields to 2.37% from Friday’s 2.42%. Treasury prices and yields move in opposite directions.
Oil prices stayed positive 24 cents a barrel to $54.14 U.S.
Gold prices gained $5.20 an ounce to $1,277.00 U.S.
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