Equity markets in Canada were set to snap a two-day losing streak on Wednesday, as latest media reports raised hopes that the United States and China would make progress in resolving their prolonged trade war during this week’s high-level talks.
The TSX Composite Index grew 64.93 points to greet noon Wednesday at 16,358.88
The Canadian dollar faded 0.02 to 75.04 cents U.S.
Encana acquired a penny by midday to $5.63, while Aurora Cannabis rose a penny to $5.53.
Meanwhile, Pason Systems made its way out of the dungeon where it spent most of the morning, gaining two cents to $15.31
On the downside, Exchange Income Corp fell $1.12, or 2.9%, to $37.99
ON BAYSTREET
The TSX Venture Exchange dipped 0.69 points to 551.98
Eight of the 12 Toronto subgroups hung onto their gains, as consumer discretionary stocks climbed 1.3%, industrials grabbed 1.1%, and information technology moved north 1%,
The four laggards were weighed most by gold, down 0.8%, materials, off 0.7%, and utilities, back 0.4%.
ON WALLSTREET
Stocks rose on Wednesday after a report stoked optimism around the upcoming trade talks between China and the U.S.
The Dow Jones Industrials hiked 183.16 points to 26,347.20
The S&P 500 recovered 25.15 points to 2,918.21
The NASDAQ Composite spiked 80.53 points, or 1%, to 7,904.47
Apple shares contributed to the gains, rising 0.6% after an analyst at Canaccord Genuity hiked his price target on the iPhone maker to $260 per share from $240.
The gains would be the indexes’ first in three sessions as worries around the negotiations have dented investor sentiment.
On the data front, the U.S. Bureau of Labor Statistics revealed that the Job Openings and Labor Turnover Summary (JOLTS) number of job openings was little changed at 7.1 million on the last business day of August, hires edged down to 5.8 million and separations were little changed at 5.6 million.
Media reports stated China is prepared to accept a partial trade deal as long as no more tariffs are imposed by President Donald Trump. The report added that Beijing would offer non-core concessions like purchases of agricultural products in return, but not budge on major sticking points between the two nations.
One source said, however, negotiators were not optimistic about securing a broad agreement that would fully end the trade conflict between the world’s two largest economies. Both sides are set for high-level trade negotiations in Washington on Thursday
Prices for the benchmark 10-year U.S. Treasury lost ground, raising yields to 1.58% from Tuesday’s 1.53%. Treasury prices and yields move in opposite directions.
Oil prices regained 80 cents to $53.43 U.S. a barrel.
Gold prices added $8.40 to $1,512.30 U.S. an ounce.
