Stocks Gain to Begin Week

Tesla in Focus

Equities in Canada’s largest market rose on Monday, as strong U.S. jobs growth data raised hopes of a global economic recovery, although a drop in oil prices limited gains.

The TSX added 51.59 points to Thursday’s all-time high, registering in Monday’s first hour of trade at 19,041.91.

The Canadian dollar gained 0.27 cents at 79.86 cents U.S.

There was no trading on North American markets Friday, which was Good Friday.

National Bank of Canada cut the price target on Goodfood Market Corp to $13.00 from $13.75. Goodfood shares were unchanged from Thursday’s close at $8.66.

Canaccord Genuity cut the price target on Telus to $29 from $29.50. Telus took on eight cents to $25.47.

National Bank of Canada raised the rating on Uni-Select to outperform from sector perform. Uni-Select shares rocketed $1.17, or 10.5%, to $12.37.


The TSX Venture Exchange eked up 1.78 points to 962.62.

Eight of the 12 TSX subgroups started the week on an up note, with materials up 1.1%, utilities better by 0.7%, and gold improving 0.6%.

The four laggards were weighed most by energy, down 2%, health-care, fading 0.4%, and information technology, easing 0.03%.


U.S. stocks climbed to record highs on Monday as investors cheered a strong bounce in U.S. job growth last month amid accelerating vaccine rollout.

The Dow Jones Industrials catapulted 349.17 points, or 1.1%, to open Monday at 33,502.38.

The S&P 500 picked up 49.15 points, or 1.2%, to 4,069.02, hitting a new intraday record after closing above 4,000 for the first time on Thursday.

The NASDAQ Composite climbed 162.65 points, or 1.2%, to 13,642.40.

The U.S. Labor Department reported Friday that non-farm payrolls increased by 916,000 in March, the highest since last August, while the unemployment rate fell to 6%. Economists surveyed by Dow Jones were expecting an increase of 675,000 and a jobless rate of 6%.

Tesla shares popped more than 6% as the electric vehicle company reported production and delivery figures that broadly beat expectations.
GameStop shares tumbled 10% after the video game retailer said it may sell up to $1 billion worth of stock.

The stock market is building on its recent strength after President Joe Biden introduced his multitrillion-dollar infrastructure proposal, which focuses on rebuilding roads, bridges and airports, expanding broadband access and boosting electric vehicle use and updating the country’s electric grid. The plan will be funded partly by a hike in the corporate tax rate to 28%.

Treasury Secretary Janet Yellen on Monday will reportedly push for a global minimum tax in an effort to keep companies from relocating to find lower rates. Yellen will address a Chicago Council on Global Affairs conference this morning.

However, Biden’s plan faces opposition among Republicans as the $2-trillion plan includes initiatives that they say extend beyond traditional infrastructure issues.

Republican Sen. Roy Blunt of Missouri on Sunday urged the Biden administration to pare back the package to roughly $615 billion and concentrate on physical infrastructure such as roads and airports.

Senate Minority Leader Mitch McConnell said last week that Biden’s plan would not receive Republican support and vowed to oppose the broader Democratic agenda.

On the pandemic front, the U.S. reported another daily record of new COVID vaccinations Saturday, pushing the weekly average of new shots per day above three million.

Prices for 10-Year Treasurys leaped, lowering yields to 1.73% from Thursday’s 1.68%. Treasury prices and yields move in opposite directions.

Oil prices slid $1.56 to $58.89 U.S. a barrel.

Gold prices gained $1.50 to $1,729.90.