Stocks in Toronto began the quarter on a positive note on Tuesday after U.S. Fed Chair Janet Yellen's dovish comments eased concerns about a rate hike coming earlier than expected.
The S&P/TSX composite index increased 45.47 points to open at 14,380.78
The Canadian dollar added 0.01 cents at 90.50 cents U.S.
Kinross Gold Corp released a feasibility study for its Tasiast gold mine expansion on Monday with a lower-than-previously-estimated capital cost, but said it does not plan to make a final decision on the project until 2015 at the earliest. Kinross shares took on eight cents to $4.65.
Encana Corp said on Monday it was selling its properties in Wyoming's Jonah natural gas field to an arm of private equity firm TPG Capital for $1.8 billion as part of a plan to shed assets and concentrate its operations. Shares in the energy giant gained 13 cents to $23.74.
On the economic scene, Statistics Canada’s industrial product price index rose 1% in February, due to higher energy and petroleum prices, while its raw materials price index moved 5.7% higher in the same month, led by crude energy products.
ON BAYSTREET
The TSX Venture Exchange picked up 7.43 points to 1,001.99
All but two of the 14 Toronto subgroups were positive to begin Tuesday, with gold soaring 1%, global base metals surging 0.9%, and health-care stocks 0.8% haler.
The two laggards were utilities, down 0.3%, and real-estate, off 0.1%.
ON WALLSTREET
After a strong finish to an otherwise flat first quarter, markets began April with a spring in their step.
The Dow Jones Industrial Average ballooned 101.92 points to 16,559.58. The S&P 500 index gained 11.77 points to 1,884.11, surpassing its intraday all-time high. The NASDAQ leaped 52.79 points to 4,251.78
On the corporate front, General Motors will be in the spotlight Tuesday. Its shares continued to slide before the bell, after the company announced another recall Monday and set aside more money to cover the costs.
GM has been criticized for how it handled a different recall due to faulty ignition switches, linked to the deaths of 13 people. CEO Mary Barra will testify before Congress on Tuesday and Wednesday about the problems.
Shares of Caterpillar slipped in pre-market trading after a report claimed it avoided $2.4 billion U.S. in taxes.
On Tuesday, investors will get data on manufacturing and auto sales for the latest clues on the health of the U.S. economy, after Federal Reserve chief Janet Yellen said Monday that the Federal Reserve's repair job was not yet finished.
Prices for 10-year U.S. Treasuries slid, raising yields to 2.75% from Monday’s 2.72%. Treasury prices and yields move in opposite directions.
Oil prices dropped 51 cents to $101.07 U.S. a barrel.
Gold prices gained $1.50 to $1,285.30 U.S. an ounce.
