Canada’s main stock index climbed on Monday, as higher commodity prices boosted shares of energy and materials companies after recent economic data bolstered hopes for an end to the global monetary policy tightening cycle.
The TSX remained buoyant 116.36 points to break for lunch Monday at 20,635.73.
The Canadian dollar was up 0.59 cents to 76.03 cents U.S.
Shares of Pan American Silver rose $1.37, or 6.5%, to $22.35, after the miner said it plans to sell its 56% stake in the Minera Agua Rica Alumbrera copper project in Argentina to Swiss commodities giant Glencore for $475 million.
TFI International and Topaz Energy are scheduled to report quarterly results later in the day. TFI shares claimed 60 cents to $169.30, while Topaz settled six cents to $21.39.
ON BAYSTREET
The TSX Venture Exchange took on 3.35 points, to 628.45.
All but three of the 12 TSX subgroups gained ground approaching noon EDT, led by health-care, up 1.8%, materials, ahead 1.6%, and gold, better by 1.4%.
The three laggards proved to be consumer staples and industrials, each losing 0.2%, and communications, backtracking 0.1%.
ON WALLSTREET
Stocks rose slightly Monday as Wall Street braced for a busy earnings week and looked to finish up July on a positive note.
The Dow Jones Industrials stayed in positive territory 20.81 points to begin Monday at 35,480.10
The S&P 500 Index gained 2.09 points to 4,584.32.
The NASDAQ index picked up 19.37 points to 14,336.03.
Stocks have rallied this month, with the S&P 500 up 3.1% and on pace for its fifth positive month in a row for the first time since its seven-month streak ending August 2021. The tech-heavy Nasdaq Composite has gained 4% month to date, also on track for its fifth straight winning month.
The blue-chip Dow has jumped 3.2% in July. Last week, the index posted a 13-day advance that matched its longest streak of gains going back to 1987.
Investors in recent weeks have grown increasingly more hopeful about a soft-landing scenario as economic data shows ongoing strength in the labour market and cooling inflation. Second-quarter earnings also continue to come in better than expected.
While earnings season is more than halfway through, the chief investment officer is keeping an eye on Thursday’s reports from Amazon and Apple, which could “set the tone” for the rest of the market.
Prices for the 10-year Treasury enjoyed slight gains, lowering yields to 3.94% from Friday’s 3.96%. Treasury prices and yields move in opposite directions.
Oil prices gained 99 cents to $81.57 U.S. a barrel.
Gold prices brightened $9.50 to $2,009.40 U.S. an ounce.