Canada's main stock exchange opened higher on Tuesday, supported by gains in precious metal miners on better-than-forecast growth data from China, while shares of Bellus Health nearly doubled on GSK's buyout deal.
The TSX gained 53.08 points to open Tuesday at 20,695.05.
The Canadian dollar slid 0.05 cents to 74.65 cents U.S.
In company news, U.S.-listed shares of Bellus Health surged $9.57, or 98.6% in Tuesday’s first hour to $19.28, as GSK Plc plans to buy the Canada-based drug developer in an all-cash deal for $2 billion.
B2Gold said it has started the phased closure of its Otjikoto open-pit mine in Namibia because of its depleted gold resource. B2Gold shares dipped three cents to $5.61.
On the economic calendar, the Consumer Price Index rose 4.3% on a year-over-year basis in March, following a 5.2% increase in February. On a seasonally adjusted monthly basis, the CPI rose 0.1% in March.
ON BAYSTREET
The TSX Venture Exchange eked up 1.27 points to start the session at 632.96.
All but three of the 12 TSX subgroups were higher, with health-care popping 12.3%, consumer discretionary stocks up 0.8%, and financials richer by 0.5%.
The three laggards were utilities, down 0.2%, energy, flailing 0.1%, and materials, off 0.03%.
ON WALLSTREET
The Dow Jones Industrial Average was flat on Tuesday as traders digested a slew of earnings reports that offered insight into how companies are faring against a backdrop of rising rates and sticky inflation.
The 30-stock index wilted in the first hour Tuesday by 98.21 points to 33,888.97, dragged lower by shares of Goldman Sachs.
The S&P 500 gained 9.33 points to 4,160.65.
The NASDAQ jumped 53.17 points to 12,210.89.
Major benchmarks fluctuated as investors assessed the latest batch of key earnings reports. Despite a tough economic environment, Bank of America surpassed first-quarter expectations on the top and bottom lines as rates rose, but shares traded flat.
Johnson & Johnson’s stock declined 2.6% even after the drugmaker beat estimates and raised its 2023 guidance.
Elsewhere, Goldman Sachs reported lighter-than-expected first-quarter revenue, dragged down by a $470 million hit from its Marcus loans. Shares slumped 3%.
Technology stocks proved a bright spot in early morning trading with Apple and Salesforce last up 1% each, helping to lift the S&P’s information technology sector 1%. Chipmaker Nvidia popped 4% on the back of a double upgrade from HSBC. Netflix, slated to report after the bell, added 1%.
Prices for the 10-year Treasury gained ground, lowering yields to 3.57% from Monday’s 3.60%. Treasury prices and yields move in opposite directions.
Oil prices sank 41 cents to $80.42 U.S. a barrel.
Gold prices recovered $4.30 to $2,011.30 U.S. an ounce.
