Canada's main stock index rose on Tuesday, driven by the heavyweight energy sector as oil prices climbed, while investor sentiment was also bolstered by U.S. President Donald Trump's assurance that the trade deal with China was intact.
The S&P/TSX Composite Index came off its highs of the morning, but retained 45.76 points worth of gains to reach noon hour at 15,562.66.
The Canadian dollar nosed up 0.05 cents to 74.05 cents U.S.
The largest percentage gainer on the TSX was First Quantum Minerals, which jumped 52 cents, or 5.4%, to $10.08, and followed by oil producer MEG Energy, which rose 29 cents, or 8.1%, to $3.87.
Altus Group fell 79 cents, or 1.8%, the most on the TSX, to $42.80, followed by Element Fleet Management, down 24 cents, or 2.4%, to $9.95.
ON BAYSTREET
The TSX Venture Exchange rose 7.03 points, or 1.2%, to 584.47.
Seven of the 12 subgroups gained ground midday, led by health-care, up 32.7%, energy, ahead 2.5%, and gold, climbing 1.5%.
The five laggards were weighed most by communications and consumer staples, each trailing 0.7%, while real-estate slumped 0.3%.
ON WALLSTREET
Stocks rose on Tuesday, with Apple leading major tech names higher as investors cheered a slew of announcements from the tech giant’s WorldWide Developers Conference.
The Dow Jones Industrials popped 242.40 points to pause for noon hour at 26,267.36.
The S&P 500 gained 31.39 points, or 1%, to 3,149.35.
The NASDAQ flew 138.08 points, or 1.4%, to 10,194.55, for its eighth consecutive gain, and yet another intraday record.
Apple gained more than 2% and reached an all-time high. On Monday, the company unveiled new operating systems for its iPhones and computers. Apple also said it would use its own chips when building new Mac computers, ditching Intel’s in the process.
Other tech-related names also lifted the broader market. Facebook advanced nearly 2%. Amazon and Netflix hit all-time highs, gaining 2.4% and 0.8%, respectively. Bank stocks rose broadly. JPMorgan Chase, Citigroup, Wells Fargo and Bank of America all rose 1.5%.
Tuesday’s gains came after a volatile overnight session amid comments from White House trade advisor Peter Navarro. Dow futures had dropped about 400 points overnight after Navarro’s Monday interview on Fox News’ “The Story.”
Fox’s Martha MacCallum asked, “Do you think that the president sort of ... I mean, he obviously really wanted to hang onto this trade deal as much as possible. And he wanted them to make good on the promises because there had been progress made on that trade deal, but given everything that’s happened and all the things you just listed, is that over?”
“It’s over. Yes,” Navarro responded.
Navarro insisted his remarks were taken “wildly out of context”, in commenting that the trade deal was over.
In his subsequent statement, Navarro said, “I was simply speaking to the lack of trust we now have of the Chinese Communist Party after they lied about the origins of the China virus and foisted a pandemic upon the world.”
The number of newly confirmed coronavirus cases at home and abroad continues to increase, raising questions about economic recovery from the virus. The largest single-day increase in global coronavirus cases was recorded on Sunday, according to the World Health Organization, after more than 183,000 new cases were reported worldwide.
The U.S. saw more than 36,000 new cases reported on Sunday after more than 30,000 new cases were reported on both Friday and Saturday, data compiled by Johns Hopkins University showed. Widespread testing is contributing to the uptick in reported cases.
Prices for the 10-Year Treasury lost ground, boosting yields to 0.72% from Monday’s 0.70%. Treasury prices and yields move in opposite directions.
Oil prices moved forward 22 cents to $40.95 U.S. a barrel.
Gold prices improved $15.80 to $1,782.20 U.S. an ounce.
