Stocks in Canada’s biggest market opened higher on Wednesday, as signs of more stimulus and improving economic data lifted hopes of a sooner-than-expected recovery from the coronavirus-led recession.
The S&P/TSX Composite Index picked up 44.1 points to 15,559.53.
The Canadian dollar docked 0.03 cents at 73.86 cents U.S.
Three employees of the former Barrick Gold unit Acacia Mining were reportedly released from jail in Tanzania on Tuesday after agreeing a plea bargain deal. Barrick shares 59 cents, or 1.8%, to $33.47.
Jefferies raised the target price on Hexo Corp. to $0.75 from $0.50. Hexo shares ducked 15 cents, or 11.9%, to $1.11.
Eight Capital started coverage on mCloud Technologies with buy rating and target price of $8.00. mCloud shares took on five cents, or 1.3%, to $4.00.
CIBC cut the target price on Transat AT to $7.00 from $18.00. Transat shares progressed 13 cents, or 1.9%, to $6.84.
On the economic beat, Statistics Canada reported the consumer price index fell 0.4% on a year-over-year basis in May, down from a 0.2% decline in April.
On a seasonally-adjusted monthly basis, the agency said the CPI increased 0.1% in May, following a 0.7% decline in April.
Bank of Canada Governor Tiff Macklem's assurance to support the nation's economic recovery using policy tools further bolstered investor sentiment.
ON BAYSTREET
The TSX Venture Exchange poked ahead 1.66 points to 564.12.
Eight of the 12 TSX subgroups started out the day positive, with gold surging 1.1%, materials up 0.9%, and consumer staples taking on 0.4%.
The four laggards were weighed most by energy, down 0.8%, real-estate, settling 0.3%, and consumer discretionary stocks off 0.2%.
ON WALLSTREET
Stocks rose Wednesday following a big rally in the previous session that was fueled by a growing belief the worst may be over for the world’s largest economy.
The Dow Jones Industrials gained 73.21 points to 26,363.19.
The S&P 500 deducted 4.63 points to 3,120.11.
The NASDAQ gained 27.12 points to 9,922.99. Entering the session, the major averages had posted three consecutive gains.
Amazon and Netflix each rose more than 1% while Apple climbed 0.6% to a record high. Home Depot and Pfizer were both up more than 1% to lead the Dow higher.
Meanwhile, concerns about the coronavirus linger. Multiple reports said Beijing will shut down all schools amid a resurgence in coronavirus cases. In the U.S., more than 2.1 million cases have been confirmed, with states such as Arizona and Texas reporting a spike in cases.
Prices for the 10-Year Treasury dropped, boosting yields to 0.74% from Tuesday’s 0.75%. Treasury prices and yields move in opposite directions.
Oil prices slid 39 cents to $37.99 U.S. a barrel.
Gold prices advanced $7.90 to $1,728.60 U.S. an ounce.
