Canada's benchmark stock index went skyward Tuesday, with utilities leading gains, as a pullback in global bond yields and easing oil prices supported sentiment, although weakness in energy and mining shares capped advances.
The TSX Composite Index gained 129.20 points to conclude the session Tuesday at 35,647.75
The Canadian dollar rose 0.26 cents to 70.37 cents U.S.
Emera said it would acquire Canadian Utilities in an all-stock deal worth $14.3 billion, creating one of Canada's largest utilities. Canadian Utilities dipped a dollar, or 2%, to $50.20.
Emera fell $1.99, or 2.9%, to $66.31. ATCO sprinted $6.88, or 9.3%, to $81.06 after saying it would spin off into a standalone publicly traded industrial services company called New ATCO.
Jamieson Wellness received final court approval for its pending acquisition by Kirin Holdings. Jamieson shares handed over seven cents to $45.45.
Elsewhere, Quebecor surged $3.25, or 5.3%, to $64.81, while Cogeco Communications gained 24 cents to $51.82.
On the political front, the separatist Parti Quebecois narrowly won Quebec's election on Monday, a result that could make it tougher for Prime Minister Mark Carney to maintain national unity amid a trade deal dispute with the U.S.
On the economic landscape, Canada's merchandise exports rose 2.5% in August, while imports were down 2.0%. As a result, Canada's merchandise trade surplus with the world widened from $787 million in July to $4.2 billion in August. This was the sixth consecutive monthly trade surplus.
The IVEY Purchasing Managers Index decreased to 58.2 in September from 64.3 in August.
ON BAYSTREET
The TSX Venture Exchange climbed 11.54 points, or 1.3%, to 890.12
Eight of the 12 subgroups were in the green, with utilities ahead 1.1%, as telecoms gained 0.9%, and gold surged 0.7%.
The four laggards were weighed by industrials, backtracking 0.8%, while energy faded 0.6%, and consumer staples fell 0.5%.
ON WALLSTREET
The S&P 500 rose to a fresh all-time intraday high on Tuesday, boosted by gains in key technology names as well as declines in Treasury yields.
The Dow Jones Industrials rocketed 253.38 points to 51,521.28
The broader index gained 44.98 points to 7,818.93
The NASDAQ Composite gained 122.48 points to 27,599.79, and also hit a new all-time high.
The moves higher were bolstered by a rise in chipmakers. Marvell Technology popped 6%, and Advanced Micro Devices gained 3%, as investors grew optimistic about the companies’ outlooks. Others, such as Broadcom, traded up 4%.
Traders are now looking ahead to the Federal Reserve’s minutes from its September meeting due Wednesday, which could shed some light on policymakers’ move to raise rates.
Prices for the 10-year Treasury advanced, lowering yields up to 5.28% from Monday’s 5.31%. Treasury prices and yields move in opposite directions.
Oil prices eased 36 cents to $89.79 U.S. a barrel.
Gold prices grabbed $40.40 to $4,197.20 U.S. an ounce.
