Canada’s main stock index rose to a month’s high on Monday lifted by a 2% rally in energy stocks as oil prices rose amid signs of progress in resolving a trade dispute between the United States and China.
The TSX Composite Index gained 53.16 points to 16,647.23
The Canadian dollar slipped 0.02 cents to 76.07 cents U.S.
RBC cuts target price on Aecon Group to $20.00 from $22.00. Aecon dropped 17 cents to $18.76.
RBC raised the target price on Kinaxis to $110.00 from $95.00. Kinaxis docked a dollar, or 1%, to $94.77.
National Bank of Canada raised the target price on TCP Energy to $67.00 from $66.00. TCP docked 59 cents to $66.59.
ON BAYSTREET
The TSX Venture Exchange inched ahead 0.38 at 541.87
Seven of the 12 Toronto subgroups were positive in the first hour, with energy gushing 1.9%, health-care haler by 0.8%, and consumer discretionary improving 0.6%.
The five laggards were weighed most by gold, down 0.4%, consumer staples, off 0.3%, and information technology, dipping 0.2%.
ON WALLSTREET
The Dow Jones Industrial Average reached a milestone on Monday as investor sentiment was lifted by optimism around a potential U.S.-China trade deal.
The 30-stock index climbed 141.02 points to 27,488.38, to its first high since mid-July. Goldman Sachs contributed the most to the gains, rising 1.1%. Trade bellwethers Boeing and Caterpillar also traded higher.
Apple is by far the best-performing Dow stock since the index hit its previous record, rallying more than 25%. Intel, J.P. Morgan Chase and United Technologies are all up at least 10% in that time.
The S&P 500 added 16.19 points to 3,082.84, yet another fresh record high.
The NASDAQ Composite Index popped 52.43 points to 8,438.83, also an all-time high.
Meanwhile, the corporate earnings season has largely been better than expected. In all, 75% of the 360 S&P 500 companies that have reported have surpassed analyst expectations.
Under Armour posted Monday quarterly numbers that topped analyst expectations. However, the stock fell more than 15% after the company cut its 2019 revenue forecast, citing lower inventories and problems around its direct-to-consumer channels.
Uber Technologies and Shake Shack are among the companies set to report after the close Monday.
U.S. Commerce Secretary Wilbur Ross said Sunday that American firms would be granted licenses to sell to Chinese telecom giant Huawei “very shortly.” Ross’ comments came after China said Friday it reached a consensus with the U.S. in principle following trade talks last week.
Prices for the benchmark 10-year U.S. Treasury slipped, raising yields to 1.78% from Friday’s 1.72%. Treasury prices and yields move in opposite directions.
Oil prices gained 64 cents to $56.84 U.S. a barrel.
Gold prices grabbed two dollars to $1,513.40 U.S. an ounce.
