Equities in Canada’s largest centre rose on Wednesday on higher crude prices and a set of positive earnings reports, while markets braced for an interest rate decision from the U.S. Federal Reserve.
The TSX regained 119.1 points to commence Wednesday at 19,091.78.
The Canadian dollar moved forward 0.14 cents to 77.68 cents U.S.
Loblaw Cos reported quarterly revenue below estimates as high inflation forces consumers to rein in discretionary spending. Loblaw shares dropped 72 cents to $120.96.
Teck Resources said CEO Don Lindsay will step down after 17 years in the role, and the company also posted a forecast-beating quarterly profit on upbeat prices for steelmaking coal. Teck shares gave back 17 cents to $33.96.
ON BAYSTREET
The TSX Venture Exchange recovered 3.06 points to 608.34.
All but two of the 12 TSX subgroups were higher in the first hour, with information technology sprinting 2.2%, industrials up 1.5%, and energy, better by 0.9%.
The two laggards proved to be materials, down 0.6%, and gold, off 0.4%.
ON WALLSTREET
U.S. equities climbed Wednesday, boosted by strong gains from Google-parent Alphabet and Microsoft, as traders awaited the Federal Reserve’s latest interest rate decision, scheduled for later in the day.
The Dow Jones Industrials rocketed 144.2 points to start the midweek session at 31,905.74.
The S&P 500 climbed 48.39 points, or 1.1%, to 3,969.44
The NASDAQ ballooned 265.46 points, or 2.3%, to 11,828.03.
Alphabet shares rose 3% after the tech giant’s quarterly report showed strong revenue from Google’s search business. That said, the company’s overall earnings and revenue came in below expectations.
Microsoft also posted earnings and revenue below analyst estimates but reported a 40% jump in revenue growth for Azure and cloud services. Shares popped 3.4%.
Enphase Energy also popped on the back of its latest results, trading about 7% higher. Chipotle also added 8% following its mixed second-quarter earnings release.
Boeing rose about 3% even though its second-quarter results fell short of analysts’ estimates. The company posted positive operating cash flow and stuck to its forecast to return to free cash flow this year.
There are more major earnings reports to come. On Wednesday, Qualcomm, Ford and Meta Platforms will report at the end of the day.
More than 150 S&P 500 companies have reported calendar second-quarter earnings thus far. Of those names, roughly 70% have beaten analyst expectations.
Investors are also awaiting a key announcement from the Federal Reserve. The central bank will announce its latest interest rate decision on Wednesday afternoon. Markets widely expect a three-quarter percentage point increase in the benchmark rate
Treasury prices gained ground, lowering yields to 2.77%, from Tuesday’s 2.80%. Treasury prices and yields move in opposite directions.
Oil prices restocked 95 cents to $95.93 U.S. a barrel.
Gold prices dropped six dollars to $1,711.70 U.S. an ounce.
Related Stories
