Canada's main stock index climbed Thursday, with energy stocks tracked higher oil prices, while U.S.-China talks scheduled for October raised hopes that the trade war will de-escalate before it further damages major economies.
The S&P/TSX Composite added 123.46 points to greet noon at 16,572.30
The Canadian dollar faded 0.06 cents to 75.55 cents U.S.
The largest percentage gainers on the TSX were First Quantum Minerals, which jumped 46 cents, or 5.3%, to $9.15, and Meg Energy, which rose 20 cents, or 3.9%, to $5.27.
First Majestic Silver fell $1.19, or 8%, the most on the TSX, to $13.77. The second biggest decliner was Mag Silver, down $1.28, or 7.2%, to $16.50.
ON BAYSTREET
The TSX Venture Exchange dropped 6.23 points, or 1%, to 586.70
All but three of the 12 Toronto subgroups were positive midday, with energy trucking 3.1%, industrials 1.6% more solid, and health-care gaining 1.5%.
The three laggards were gold, down 5.2%, while materials sagged 2.7%, and real-estate faded 0.1%.
ON WALLSTREET
Markets in the U.S. took great cheer from the prospect of trade tensions dissolving with China, and recaptured much lost ground.
The Dow Jones Industrial Average popped 441.81 points, or 1.7%, to 26,797.28
The S&P 500 gained 41.08 points, or 1.4%, to 2,978.86, led by a 2.5% gain in the financials sector, and traded around 1.6% from its record high.
The NASDAQ Composite popped 129.97 points, or 1.6%, to 8,106.85
Advanced Micro Devices rose 2.3%, while On Semiconductor gained 4.4%. Bank stocks such as J.P. Morgan Chase and Citigroup each traded more than 3% higher while trade bellwethers Caterpillar gained 4.2% and Boeing rose 1.9%
Shares of Slack, maker of the popular workplace messaging chat app, dropped 14.1% after the company issued its first earnings report as a public company.
On the data front, private payrolls in the U.S. increased by 195,000, according to ADP and Moody’s Analytics. Economists polled by Dow Jones expected payrolls to grow by 140,000. The report from ADP and Moody’s Analytics is seen by investors as a preview to the U.S. government’s monthly non-farm payrolls report, which is scheduled for release Friday morning.
The payrolls data comes as the Federal Reserve is reportedly gearing up to lower interest rates by 25 basis points later this month. The move would follow another quarter-point rate cut back in July.
China’s Commerce Ministry issued a statement Thursday morning saying that Liu He, Beijing’s top negotiator on trade, had spoken with U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin.
The two sides agreed to hold another round of trade negotiations in Washington, D.C., towards the beginning of next month, and consultations will be made in mid-September in preparation for the meeting
Prices for the benchmark 10-year U.S. Treasury slumped sharply, raising yields to 1.58% from Wednesday’s 1.46%. Treasury prices and yields move in opposite directions
Oil prices gathered $1.05 to $57.31 U.S. a barrel.
Gold prices dropped off $35.30 to $1,525.10 U.S. an ounce.
