Canada's main stock index hit another record high on Friday, buoyed by gains in energy stocks on stronger oil prices as expectations of a rebound in fuel demand overshadowed concerns about more supply from Iran once sanctions are lifted.
The TSX zoomed 116.5 points by Friday lunch hour at 19,890.91.
The Canadian dollar subtracted 0.08 cents to 82.77 cents U.S.
HEXO Corp rose 65 cents, or 8.2%, to $8.55, after saying it would buy Redecan, a Canadian privately-owned licensed cannabis producer, for $925 million in a cash-and-stock deal.
National Bank of Canada fell $2.54, or 2.6%, to $94.43, even after beating analysts' estimates for second-quarter profit.
The largest percentage gainers on the TSX were Blackberry, which jumped $1.35, or 11.3%, to $13.27, and Canopy Growth, which rose $1.63, or 5.5%, to $31.26.
Ivanhoe Mines fell 41 cents, or 4.2%, the most on the TSX, to $8.87.
ON BAYSTREET
The TSX Venture Exchange eked up 1.74 points to 961.39.
All 12 subgroups reached midday in the green, with health-care leaping 4.2%, information technology up 1.7%, and communications up 1%.
ON WALLSTREET
U.S. stocks climbed on Friday as major averages headed for a winning week amid growing optimism over the U.S. economic recovery.
The Dow Jones Industrials jumped 113.5 points to pause for lunch to 34,578.14.
The S&P 500 added 14.64 points to 4,215.52.
The NASDAQ surged 75.42 points to 13,890.91.
The S&P 500 is up more than 1% week to date and sits less than 1% from a record. The blue-chip Dow is also more than 1% higher over the same time period, while the NASDAQ has gained 2.3%.
For the month of May, the S&P 500 is slightly higher, while the Dow is up 2%. The NASDAQ is off by about 1.3%.
Salesforce shares popped nearly 7% after the software company’s first-quarter earnings beat Wall Street expectations on its top and bottom lines. HP shares dropped 5% despite the company’s better-than-expected second-quarter results.
Ford was higher once again, up 1% Friday. The stock has rallied 12% this week so far after unveiling a new electric vehicle strategy.
Meme stocks fueled by traders in Reddit’s WallStreetBets forum surged again on Friday with AMC shooting up over 30%.
The moves higher this week come as investors monitor the back-and-forth in Washington over a comprehensive infrastructure package that could further boost the economic recovery. Senate Republicans unveiled a $928-billion infrastructure counteroffer to President Joe Biden on Thursday. However, that’s well below Biden’s most recent proposal of $1.7 trillion.
A key inflation indicator — the core personal consumption expenditures index — rose 3.1% in April, faster than expectations of a 2.9% increase but not as hot as many on Wall Street had feared. Meanwhile, the savings rate remained elevated at 14.9% last month, while consumer spending rose 0.5%, in line with estimates.
Prices for 10-Year Treasurys gained, lowering yields to 1.59% from Wednesday’s 1.60%. Treasury prices and yields move in opposite directions.
Oil prices fell two cents to $66.83 U.S. a barrel.
Gold prices sank $2.10 to $1,900.60 U.S. an ounce.
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