Energy, Materials Propel TSX Upward

SNC-Lavalin in Focus

Equities in Toronto managed to hang onto gains midday Tuesday, as higher oil prices aided the energy sector, against the backdrop of optimism in global financial markets over signs of stimulus in the Chinese economy.

The S&P/TSX Composite Index gained 43.84 points – off its highs of the morning -- to greet noon at 16,260.10

The Canadian dollar faded 0.11 cents to 75.28 cents U.S.

Also helping the main index was a 6% rise in shares of SNC-Lavalin Group Inc, after the company named Chief Operating Officer Ian Edwards interim president and chief executive officer.

The largest percentage gainers on the TSX were shares of BRP Inc, which jumped $2.99, or 6.9%, to $46.54, closely followed by those of SNC-Lavalin, up $1.57, or 6.6%, to $25.27.

Allied Properties Real Estate Investment fell $1.33, or 2.7%, the most on the TSX, to $48.30, while shares of Endeavour Mining recovered from a negative morning to catch up to Monday’s close of $20.07.

ON BAYSTREET

The TSX Venture Exchange lost 3.64 points to 590.79

Seven of the 12 Toronto subgroups were still positive by noon hour, as materials were boosted 1.6%, energy gained 1.3%, and gold picked up 0.6%.

The five laggards were weighed most by health-care, sliding 1.4%, information technology, off 1%, and real-estate, skidding 0.6%.

ON WALLSTREET

Stocks erased earlier gains on Tuesday as a rally in the technology sector fizzled out.

The Dow Jones Industrial Average sank 25.18 points to pause for lunch at 26,037.50

The S&P 500 dipped 3.78 points to 2,882.96.

The S&P 500 technology sector was down 0.3%, giving back a gain of 1.1%. Advanced Micro Devices and Symantec led tech’s decline, sliding more than 3% each.

The NASDAQ Composite stumbled 17.69 points to 7,805.48, erasing a surge of more than 1%.

The Dow was poised to notch its seventh straight gain. That would mark the 30-stock index’s longest winning streak since May 2018, when it rose for eight straight days. Meanwhile, the S&P 500 is within 2% below an all-time high set in April.

Market expectations for lower rates by July sat around 78%. Investors are also pricing in a 97.1% chance of lower rates by December.

Prices for the benchmark 10-year U.S. Treasury were unchanged, leaving yields at Monday’s 2.15%. Treasury prices and yields move in opposite directions.

Oil prices stayed afloat 18 cents to $53.44 U.S. a barrel.

Gold prices slipped $1.10 at $1,329.70 U.S. an ounce.