Equities in Canada’s largest centre opened higher on Wednesday, lifted by energy stocks which tracked higher oil prices, as a drop in U.S. crude inventories raised hopes for a recovery in demand.
The S&P/TSX Composite Index recovered 155.09 points to kick off Wednesday’s session at 16,652.10
The Canadian dollar gains 0.24 cents higher to 75.36 cents U.S.
BMO raises price target on Spin Master to $25.00 from $18.00. Spin Master shares gained 41 cents, or 1.5%, to open at $27.39.
Berenberg raised the target price on Nutrien to $41.00 from $37.00. Nutrien shares added 59 cents, or 1.2%, to $51.78.
RBC cut the target price on Canada Goose Holdings to $43.00 from $47.00. Canada Goose shares backtracked 47 cents, or 1.5%, to $30.81.
ON BAYSTREET
The TSX Venture Exchange revived 8.42 points, or 1.2%, to begin Wednesday at 725.87.
All but one of the 12 TSX subgroups roared ahead in the first hour, with energy gushing 1.7%, while gold and materials each tallied 1.3%.
Consumer staples proved the only waning subgroup, and only losing 0.1% at that.
ON WALLSTREET
Stocks rose on Wednesday as Wall Street rebounded from a sharp reversal in the previous session that led the S&P 500 to snap a seven-day winning streak.
The Dow Jones Industrials’ elevator ride continued, taking the index up this time by 218.46 points, to 27,905.37.
The S&P 500 heightened 38.11 points, or 1.1%, to 3,371.86.
The NASDAQ re-asserted itself 177.15 points, or 1.6%, to open at 10,959.98.
Sentiment was lifted in part by President Donald Trump saying late Tuesday that the U.S. government will purchase 100 million doses of Moderna’s experimental coronavirus vaccine, which is currently in late-stage human trials. Moderna shares jumped more than 7%.
Vaccine hopes lifted shares of cruise lines and airlines. Carnival and United shares each rose more than 0.8%. Norwegian Cruise Line climbed 1.3% and American Airlines advanced 0.6%.
Bank stocks rose broadly as well. JPMorgan Chase traded 1.9% higher while Bank of America and Citigroup each rose 2%. Wells Fargo climbed 3.2%.
Big Tech, meanwhile, recovered some of its sharp losses from the previous session. Facebook, Amazon and Netflix were all up more than 1% while Alphabet advanced 0.8%. Microsoft picked up 1%, and Apple gained 1.3%.
On matters macroeconomic, the U.S. Labor Department released key data on Wednesday that showed core consumer prices rose at a much faster-than-expected rate last month. Core CPI jumped 0.6% in July, while economists expected a gain of 0.2%.
Prices for the 10-Year Treasury slipped, raising yields to 0.68% from Tuesday’s 0.65%. Treasury prices and yields move in opposite directions
Oil prices jumped 76 cents to $42.37 U.S. a barrel.
Gold prices dipped $4.60 to $1,941.70 U.S. an ounce.
