Equities in Canada’s largest market opened higher on Tuesday as commodity prices rose against a weakening dollar on hopes that the U.S. Federal Reserve may slow down its pace of interest rate hikes next month.
The TSX Composite moved skyward 230.82 points, or 1.2%, to start Tuesday with a bang, at 19,656.96.
The Canadian dollar pointed upward 0.15 cents to 73.60 cents U.S.
As the earnings season unfolds, Thomson Reuters reported higher third-quarter revenue and operating profit. Thomson shares dived $2.87, or 1.9%, to $142.02.
Colliers International Group tumbled $4.32, or 3.4%, to $123.54, on the release of its third-quarter figures.
Federal Court Chief Justice Paul Crampton has directed counsel for Rogers Communication, Shaw Communications and the Competition Bureau to convene for a further case management conference on Tuesday.
Rogers shares gained 50 cents to $57.21, while those for Shaw took on 17 cents to $35.16.
In matters economic, the seasonally adjusted S&P Global Canada Manufacturing Purchasing Managers’ Index registered at 48.8 in October, down from 49.8 in September
ON BAYSTREET
The TSX Venture Exchange recovered 5.85 points, or 1%, to start Tuesday to 601.18.
All 12 TSX subgroups climbed in the early going. Materials sprinted 3%, while gold leaped 2%, and information technology added 1.9%.
ON WALLSTREET
Stocks slipped on Tuesday as a new month of trading commenced, and Wall Street looked ahead to a key Federal Reserve decision on rates.
The Dow Jones Industrials fell 77.49 points to 32,655.46.
The S&P 500 sagged 5.36 points to 3,866.62.
The NASDAQ faded 15.32 points to 11,102.45.
A better-than-feared earnings season also continued Tuesday with a strong report from Pfizer, while Uber shares popped on a revenue beat.
Some traders pointed to optimism from unconfirmed reports that China may pivot from its zero-COVID policy as a source for Tuesday’s early gains.
Tuesday also marks the start of the Fed’s November meeting, which many expect will result in a 75-basis-point interest rate hike. Investors will also monitor the central bank’s statement and Fed Chair Jerome Powell’s press conference for signs of a slowing tightening pace.
Wall Street is coming off a strong month of gains. The Dow rallied nearly 14% in October, its biggest monthly advance since January 1976 as investors rotated out of technology and into stalwarts like banks. The S&P 500 advanced 8% while the NASDAQ took on 3.9%.
Treasury prices inched forward, lowering yields to 4.04% from Monday’s 4.05%. Treasury prices and yields move in opposite directions.
Oil prices added $1.75 to $88.28 U.S. a barrel.
Gold prices jumped $7.60 to $1,648.30 U.S. an ounce.
