Canada’s main stock index gained on Wednesday as energy stocks rose, while investors awaited U.S inflation data due this week to provide clues on the Federal Reserve’s rate hike trajectory.
The TSX remained buoyant 39.88 points to 19,938.74 by noon EST. S
The Canadian dollar was up 0.06 at 74.50 cents U.S.
In the energy sector, National Bank of Canada raised its price target on major oil companies including Vermilion Energy and
Cenovus Energy as it sees an upside in crude prices. Vermilion took on 79 cents, or 4%, to $20.66, while Cenovus dialed back 61 cents, or 2.4%, to $24.55.
In the gold sector, Equinox Gold dived 35 cents, or 6.1%, to $5.38, as the gold miner posted full-year production below the lower end of guidance due to operational challenges earlier in the year.
Barrick Gold signed new joint venture deals with Saudi Arabian Mining Co. Barrick fell 33 cents, or 1.3%, to $25.73.
The Panamanian government doubled down on its order that First Quantum Minerals should halt operations at its flagship local copper mine, since it had been operating without a contract since 2017. Shares of the metal miner eked up five cents to $30.99.
ON BAYSTREET
The TSX Venture Exchange soared 7.26 points, or 1.2%, to 601.51.
Seven of the 12 subgroups remained positive midday, led by real-estate, up 1.2%, while health-care and utilities each added 1%.
The five laggards were weighed most by gold, down 1.4%, while materials and consumer staples each erased 0.5%.
ON WALLSTREET
Stocks rose Wednesday as Wall Street looked to build on what has been a positive start to 2023.
The Dow Jones Industrials leaped 125.76 points to break for lunch at 33,829.86
The S&P 500 was up 29.63 points to 3,948.88.
The NASDAQ Composite Index hiked 128.78 points, or 1.2%, to 10,872.41.
The moves come after the NASDAQ clinched its first three-day winning streak since November Tuesday. Investors picked up battered technology stocks amid growing hope for a change of course in the Federal Reserve’s interest rate hike campaign. A positive close on Wednesday would mark its first four-day rally since September.
Bed Bath & Beyond rallied a whopping 83 cents, or 40.1% to $2.90 to trigger the trend in morning trading Wednesday. Shares of GameStop, the original star of 2021’s meme stock mania, climbed 19 cents, or more than 19%, to $1.36. AMC Entertainment soared 64 cents, or 15.6%, to $4.70.
2023 has brought a relief rally so far for more risky areas of the market, such as tech, but many investors are still cautious ahead of earnings season and further expected rate hikes from the Federal Reserve.
Prices for the 10-year Treasury gained ground, lowering yields to 3.58% from Tuesday’s 3.61%. Treasury prices and yields move in opposite directions.
Oil prices advanced $1.21 to $76.33 U.S. a barrel.
Gold prices subtracted 30 cents to $1,876.20 U.S. an ounce.