Canada's main stock index rose on Tuesday and was on track for its best session in two weeks, as energy shares gained on firmer crude prices and short-covering ahead of the holiday season.
The S&P/TSX Composite hurtled skyward 273.86 points, or 1.3%, to venture into noon hour Tuesday at 20,812.08.
The Canadian dollar inched up 0.04 cents at 77.34 cents U.S.
Adding further gains were the Toronto-listed health-care stocks, as pot producers including OrganiGram Holdings, up 18 cents, or 7.6%, to $2.56, Tilray, ahead 57 cents, or 5.9%, to $10.21, and Cronos Group, up 29 cents, or 5.5%, to $5.60, to bounce back from previous session's tax-loss selling.
On the economic board, Statistics Canada reported retail sales for October were up 1.6% to $57.6 billion. The increase was led by higher sales at motor vehicle and parts dealers (+2.2%), as new car dealer sales (+2.8%) rebounded. Sales increased in seven of 11 sub-sectors, representing 59.9% of retail trade.
ON BAYSTREET
The TSX Venture Exchange rebounded 16.76 points, or 1.9%, to 899.39.
All but one of the 12 TSX subgroups moved upward midday, with health-care climbing 5.1%, information technology, clicking higher 3.4%, and energy, rumbling 3%.
Only gold moved lower, and only 0.3% at that.
ON WALLSTREET
The major averages rebounded sharply on Tuesday following three days of losses amid fears about the fast-spreading COVID omicron variant.
The Dow Jones Industrials hiked 485.61 points, or 1.4%, to break for lunch Tuesday at 35,417.77, helped by gains in Nike and Boeing.
The S&P 500 index leaped 52.66 points, or 1.2%, to 4,620.68.
The NASDAQ spiked 195.96 points, or 1.3%, at 15,176.91.
Reopening plays, like airlines, cruise lines and entertainment stocks, saw some relief buying on Tuesday. Delta Air Lines rose 6.2%, United Airlines gained 7% and Carnival Corp. added 9%. Las Vegas Sands was up more than 8%. Caesars Entertainment added 8.4%. Boeing rose 5%.
Micron shares surged nearly 8% after the memory-chip maker posted much better than expected earnings for the prior quarter and gave bullish guidance. NXP Semiconductors and Advanced Micro Devices gained 1.8% each.
Nike shares jumped more than 6% after the sneaker maker reported quarterly earnings and sales that exceeded analysts’ expectations, despite ongoing supply chain pressures. Other retailers like Gap, Dick’s Sporting Goods and Macy’s also gained.
Stocks are coming back from a three-day losing streak spurred by the omicron surge that accounted for 73% of new infections in the U.S. last week, federal health officials said Monday. The S&P 500 notched its worst three-day stretch since September on Monday.
Investors also assessed the prospects for President Joe Biden’s economic agenda. The Senate will vote on Biden’s sweeping social safety net and climate policy bill in January, despite Democratic Sen. Joe Manchin’s opposition to it. It is unclear if Democrats will try to pass a smaller bill that includes only parts of the full package.
Prices for 10-year Treasurys stumbled, raising yields to 1.48% from Monday’s 1.43%. Treasury prices and yields move in opposite directions.
Oil prices picked up $2.25 to $70.86 U.S. a barrel.
Gold prices slid $7.70 to $1,786.90 U.S. an ounce.
