Equities rose 1% in early trading on Thursday as the U.S. Federal Reserve rolled out a massive $2.3 trillion program in another attempt to shore up the world's largest economy reeling from the impact of coronavirus pandemic.
The TSX Composite Index vaulted 350.29 points, or 2.5%, at 14,276.
The Canadian dollar marched ahead 0.26 cents to 71.57 cents U.S.
Markets in North America will be closed Friday for Good Friday.
RBC cut the target price on Canadian Pacific Railway to $352.00 from $361.00. CP shares popped $4.71, or 1.5%, to $323.03.
National Bank of Canada cut the target price Cogeco Communications to $109.00 from $115.00. Cogeco gained 74 cents to $76.24.
Scotiabank cut the target price on Teck Resources to $21.00 from $26.00. Teck shares eked up eight cents to $11.57.
Economically speaking, Statistics Canada said the economy lost 1,011,000 jobs in March, raising the unemployment rate 2.2 percentage points to 7.8%.
ON BAYSTREET
The TSX Venture Exchange gained 6.88 points, or 1.7%, to 415.77.
All 12 TSX subgroups gained early on. Health-care stocks were haler 5.1%, gold surged 4.7%, and consumer discretionary issues added 4%.
ON WALLSTREET
Stocks jumped on Thursday after the Federal Reserve gave more details on how it will support the economy amid the coronavirus pandemic.
The Dow Jones Industrials rocketed 394.39 points, or 1.7%, to 23,827.96
The S&P 500 jumped 90.57 points, or 3.4%, to 2,749.98.
The NASDAQ Composite popped 203.64 points, or 2.6%, to 8,090.60.
The Dow was up more than 12.9% for the week after Thursday’s open, putting the 30-stock average on pace for its biggest weekly gain since 1938.
The S&P 500 was up 12.1% week to date, on pace for its best week since 2008. The NASDAQ had gained 10.9% and was headed for its best weekly performance since 2008.
Thursday’s gains put the major averages on pace for strong weekly gains. The U.S. stock market will be closed Friday due to Good Friday.
The Fed announced as slew of programs, including loans geared towards small and medium sized businesses, that will total up to $2.3 trillion. The central bank also gave more details on its plans to buy investment-grade and junk bonds.
Wall Street’s weekly surge comes amid increasing hope that the situation around the coronavirus was improving. In recent days, the number of new daily confirmed cases has dropped globally and in the U.S. New York state has also reported a decline in its virus-related hospitalization rate.
Thursday’s announcement was enough to outweigh another massive jump in weekly jobless claims.
More than six million Americans filed for unemployment benefits last week. Economists expected an increase of five million. The latest data built on the record-shattering prior two readings of 6.6 million and 3.3 million.
Prices for the 10-Year U.S. Treasury were unchanged, keeping yields at Wednesday’s 0.73%. Treasury prices and yields move in opposite directions.
Oil prices gained $1.63 to $26.72 U.S. a barrel.
Gold prices picked up $48.20 to $1,732.50 U.S. an ounce.
