Canada's main stock index opened higher on Tuesday, after notching its lowest close in more than two years in the previous session, as Bank of Canada Governor Stephen Poloz said interest rate hikes could be interrupted amid signs of slowing growth and low oil prices.
The S&P/TSX Composite Index regained 76.22 points at Tuesday’s open to 14,438.87
The Canadian dollar eased 0.05 cents to 74.50 U.S.
Canaccord Genuity raised the target price on Aecon Group to $24.00 from $23.00. Aecon shares took on 24 cents, or 1.4%, to $17.66.
RBC raised the target price on Kirkland Lake Gold to $38.00 from $33.00. Kirkland Lake Gold shares added 49 cents, or 1.5%, to $33.05.
CIBC cut the target price on Painted Pony Energy to $2.75 from $3.25. Painted Pony shares faded two cents, or 1.5%, to $1.31.
Bank of Canada Governor Stephen Poloz said on Monday that the pace of interest rate hikes in Canada could be interrupted or sped up depending on the economic circumstances.
On the economic slate, Statistics Canada reported that the number of Canadians drawing regular employment insurance benefits fell for a third consecutive month, down 6,500 or 1.5% from September to 439,600 in October.
Elsewhere, manufacturing sales edged down 0.1% in October to $58.2 billion, following four increases in the previous five months.
Lower sales at wood product and primary metal industries were largely offset by higher sales at food and machinery industries.
ON BAYSTREET
The TSX Venture Exchange inched ahead 1.11 points to 547.90
All but one of the 12 TSX subgroups started the day positive, as information technology strengthened 1.9%, consumer discretionary stocks were bolstered 1.6%, and industrials prospered 1.3%.
The lone laggard was in energy, dropping 1%.
ON WALLSTREET
Stocks rebounded Tuesday, recovering some of the steep losses of the prior trading session that sent both the Dow Jones Industrial Average and the S&P 500 down more than 2%.
The Dow Jones Industrial Average recovered 277.11 points, or 1.2%, to 23,870.09, led higher by gains in Boeing and Johnson & Johnson.
The S&P 500 gained 21.22 points to 2,567.16, after falling to a new closing low and touching a new intraday low for 2018 on Monday.
The NASDAQ popped 62.13 points to 6,815.86, as Amazon, Apple and Google-parent Alphabet all traded higher.
The Dow and S&P 500, which are both in corrections, are on track for their worst December performance since the Great Depression in 1931, down more than 7% so far for the month. The S&P 500 is now in the red for 2018 by 4%.
A slew of stocks were on pace for notable comebacks on Tuesday following losses on Monday.
E-commerce giant Amazon — which sank nearly 4.5% on Monday — rallied 1%. Aircraft and aerospace manufacturer Boeing jumped 3.7% after hiking its dividend by 20 percent, and chipmakers Nvidia gained 1.8% and Advanced Micro Devices picked up 3%
The Federal Reserve is widely expected to hike its benchmark overnight lending rate for a fourth and final time of 2018 when it concludes a two-day policy meeting on Wednesday.
Prices for the benchmark for the 10-year U.S. Treasury grew, lowering yields to 2.84% from Monday’s 2.86%. Treasury prices and yields move in opposite directions
Oil prices dropped $1.13 to $48.67 U.S. a barrel.
Gold prices faded 30 cents to $1,251.50 U.S. an ounce.
