Equities in Canada’s largest centre rose on Wednesday mirroring global equities which rallied to six-month highs, on signs of progress in U.S.-China trade talks.
The S&P/TSX Composite Index pulled ahead 38.31 points to open midweek Wednesday at 16,302.18
The Canadian dollar inched forward 0.10 cents at 75.06 cents U.S.
Canaccord Genuity cut the price target on KEW Media Group to $9.00 from $9.50. KEW shares gained 12 cents, or 1.8%, to $6.92, in Wednesday’s first hour.
RBC cut the target price on Prometic Life Sciences to $0.70 from $1.25. Prometic shares deducted a penny, or 4.4%, to 22 cents
ON BAYSTREET
The TSX Venture Exchange regained 0.78 points to 626.48
Eight of the 12 Toronto subgroups enjoyed gains to start Wednesday, with consumer discretionary stocks powering ahead 0.6%, while energy and financials each up 0.5%.
The four laggards were weighed most by real-estate and information technology issues, each down 0.3%, while gold slumbered 0.2%.
ON WALLSTREET
Stocks rose on Wednesday as investors cheered a nearing trade deal between the U.S. and China though softer measures on payrolls and the service economy kept a lid on optimism.
The Dow Jones Industrial Average moved up 25.65 points to start the day at 26,204.78, as UnitedHealth and Home Depot outperformed.
The S&P 500 gained 10.72 at 2,877.96, led by materials and technology stocks.
The NASDAQ Composite tacked on 56.31 points to 7,905
A bearish call on Caterpillar shares also kept the market in check. Caterpillar shares fell 1% after Deutsche Bank downgraded the industrial giant to hold from buy and slashed its 12-month price target. The bank cited a "collapse" in synchronized global growth.
American and Chinese officials are reportedly closing in on a trade deal, having resolved most of the outstanding issues in their protracted trade dispute. Both countries have levied tariffs on billions of dollars' worth of each other's goods since last year.
According to the Financial Times, Beijing wants Washington to remove existing U.S. duties on Chinese imports, while the Trump administration wants China to agree to enforcement measures that ensure the country sticks to the deal.
Gains were capped, however, by weaker-than-expected economic data.
Private payrolls increased by 129,000 in March, according to ADP and Moody's Analytics. That is well below an estimate of 173,000. The report from ADP and Moody's is typically seen as a preview for the U.S. government's monthly jobs report, which is scheduled for release Friday morning.
A weaker-than-expected update on the U.S. services sector also capped stock advances throughout the session. Growth in services fell more than expected in March and advanced at its slowest pace in more than 12 months, the Institute for Supply Management reported.
The ISM non-manufacturing index dipped to 56.1 last month, its softest read since August 2017.
Prices for the benchmark 10-year U.S. Treasury staggered, raising yields to 2.51% from Tuesday’s 2.47%. Treasury prices and yields move in opposite directions.
Oil prices grabbed a penny to $62.59 U.S. a barrel.
Gold prices faded 60 cents to $1,294.80 U.S. an ounce.
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