TSX Ploughs Ahead on Energy Boost

Headwater Makes Headlines

Canada's main stock index opened higher on Friday and was on track to have its best weekly performance since March, aided by gains in energy stocks.

The TSX Composite gained 99.63 points to begin the final session of a short week at 20,919.57.

Markets were closed Monday for Thanksgiving Day.

The Canadian dollar acquired 0.07 cents to 80.88 cents U.S.

Turquoise Hill Resources said on Thursday the estimated additional funding required for the Oyu Tolgoi mine in Mongolia was now $1.2 billion higher than previously expected due to some delays.

Turquoise Hill shares stumbled $3.41, or 17.8%, to $15.71.

Laurentian Bank Securities cut the rating on Altius Minerals to hold from buy. Altius shares fell 32 cents, or 1.9%, to $16.43.

CIBC cuts target price on Dye & Durham to $44.00 from $50.50. Dye shares gained $1.66, or 4.6%, to $37.65.

RBC initiates coverage on Headwater Exploration with an outperform rating and a seven-dollar price target. Headwater shares picked up 10 cents, or 2.2%, to $4.74.

On the economic schedule, Statistics Canada reports wholesale sales increased 0.3% in August, reflecting mixed results among wholesale sub-sectors.

The agency also says sales of food, beverage and tobacco products surpassed March 2020 levels for the first time.

The Canadian Real Estate Association reported national home sales rose 0.9% on a month-over-month basis in September.

ON BAYSTREET
The TSX Venture Exchange tacked on 2.82 points to 928.25.

Seven of the 12 TSX subgroups gained ground in the first hour, as energy soared 213%, financials were richer by 0.8%, and consumer discretionary advanced 0.6%.

The five laggards were weighed most by gold, dulling in price 0.9%, health-care, down 0.2%, and real-estate, off 0.1%.

ON WALLSTREET

U.S. stock indexes rose on Friday as better-than-expected third-quarter earnings reports set the S&P 500 on track for a winning week.

The Dow Jones hiked 289.83 points to 35,202.39.

The S&P 500 increased 26.28 points to 4,464.39.

The NASDAQ Composite spiked 50.59 points to 14,874.02.

All three averages are on track to end the week higher.

So far, 80.5% of the 41 S&P 500 companies that have reported third-quarter results have topped earnings-per-share expectations.

Earnings momentum continued Friday as Goldman Sachs’ third-quarter results beat significantly on the top and bottom line. The bank stock gained more than 2%.

The stellar report came after earnings beats from other big banks earlier in the week. Financial heavyweights JPMorgan, Bank of America, Morgan Stanley and Citigroup were among the firms topping expectations.

Retail sales posted a surprise increase in September, rising 0.7%. Economists polled by Dow Jones were expecting a 0.2% decline.

The University of Michigan Consumer Sentiment reading also was published this morning.

Prices for 10-year Treasurys gained, lowering yields to 1.57% from Thursday’s 1.51 %. Treasury prices and yields move in opposite
directions.

Oil prices jumped 98 cents to $82.29 U.S. a barrel.

Gold prices slumped $23.70 to $1,774.20 U.S. an ounce.