Equities in Canada’s largest market celebrated a week sharply in plus territory with monster gains on Friday, largely on the backs of consumer and resource stocks.
The TSX Composite Index surged 129.39 points to close Friday at 22,673.57. On the week, the gain was 613 points, or 2.8%.
The Canadian dollar sank 0.04 cents to 73.35 cents U.S.
The rally was led by consumer discretionary stocks, including Aritzia, adding six dollars, or 14.4%, to $47.51, while Spin Master roared ahead $1.60, or 5.7%, to $29.78.
In materials, Filo Mining popped $1.83, or 6.9%, to $28.06, while Capstone Mining chugged higher 48 cents, or 5%, to $10.43.
In financials, Brookfield Corporation rocketed $1.42, or 2.3%, to $62.70, while Brookfield Asset Management improved 89 cents, or 1.6%, to $55.70.
The lone naysayer was in health-care, where Bausch Health Companies dropped 15 cents, or 1.5%, to $10.14, while Sienna Senior Living shares shed six cents to $14.55.
In the economic data Friday, Statistics Canada reported the total monthly value of building permits in Canada decreased 12.2% to $11.7 billion in May
ON BAYSTREET
The TSX Venture Exchange added 7.15 points to 589.61, which sent the index lower on the week 2.06 points, or 0.35%.
All but one of the 12 TSX subgroups made gains to conclude Friday, with consumer discretionary up 1.3%, materials better by 1%, and financials better by 0.9%
Only health-care missed out, dropping 0.3%.
ON WALLSTREET
The Dow Jones Industrial Average soared to a new high on the back of gains in Home Depot and Caterpillar as investors started to embrace some stocks outside of the technology bull market leaders this week.
The 30-stock index plowed ahead 247.61 points to 40,001.36. It was its first time above 40,000 since topping that round number milestone in late May. Home Depot added 2.2% to bring its gain for the week to nearly 8%. Caterpillar added 1.6%. The Dow is up 1.8% on the week
The S&P 500 index picked up 30.85 points to 5,615.39, for an improvement on the week of 0.87%.
The NASDAQ grabbed 115.04 points to 18,398.44, to finish up on the week by 0.25%.
The market rallied even after meager reactions to banks’ second-quarter earnings. JPMorgan shares were 1.5% lower even as the bank posted second-quarter revenue higher than Wall Street expectations on a jump in investment banking fees. Citi stock dipped 1% despite beating on the top and bottom lines in the second quarter.
Wells Fargo shares tumbled 6% after the bank said net interest income, a key measure of lending profitability for banks, fell short of expectations in the second quarter.
Nvidia bounced 2% on Friday as investors couldn’t resist some of their favorite tech names that had sold off the day before.
A reading of wholesale inflation came in slightly hotter than expected on Friday, but Wall Street largely ignored those figures after a drop in the consumer price index a day earlier that spurred optimism the Federal Reserve would cut rates in September.
Investors’ move out of tech stocks on Thursday was spurred by a consumer price index report that showed a 0.1% monthly decline in June. Traders flocked to areas of the market that will benefit from Federal Reserve interest rate cuts, including small-cap stocks.
Prices for the 10-year Treasury gained some ground, lowering yields to 4.18% from Thursday’s 4.21%. Treasury prices and yields move in opposite directions.
Oil prices dipped 43 cents at $82.19 U.S. a barrel.
Gold prices sank $4.20 to $2,417.70