Canada’s main stock index climbed to a record high on Monday, lifted by the energy stocks tracking higher crude prices, while investors perked up on the higher chances of a September rate cut in the United States.
The TSX Composite Index gained 117.84 points to 23,403.92.
The Canadian dollar prospered 14 cents to 74.16 cents U.S.
The Canada Industrial Relations Board ordered an end to work stoppages at the country’s largest railways that posed a threat to Canada’s export-driven economy. Shares in Canadian National gained 45 cents to $159.16, while those for rival Canadian Pacific dropped 22 cents to $110.62.
Among important earnings, major lenders like Bank of Nova Scotia, Royal Bank of Canada, and the National Bank of Canada are expected to report their quarterly results this week.
Scotiabank shares grabbed 16 cents at the outset to $65.61. Those in RBC nicked ahead seven cents to $156.16, while National shares took on 17 cents to $120.13.
ON BAYSTREET
The TSX Venture Exchange moved up 1.68 points to 579.51.
All but two of the 12 TSX subgroups began Monday in plus territory, with energy ahead 2.1%, while materials and real-estate advance 0.5% each.
The two laggards were gold, down 0.1%, and industrials off 0.02%.
ON WALLSTREET
The Dow Jones Industrial Average rose to a new record level on Monday as investors look to push equities higher now that the Federal Reserve indicated that rate cuts are forthcoming.
The 30-stock index prospered 172.9 points to begin the week at 41,347.48
The S&P 500 index slipped 7.27 points to 5,627.34.
The NASDAQ retreated 122.37 points to 17,755,42.
The market kicked off August under pressure, as concerns over a possible recession, and the unwind of a popular hedge fund trade linked to the Japanese yen, pulled stocks off their record levels. The S&P 500 lost 3% on Aug. 5 — its biggest one-day loss since 2022. The Dow also had its worst selloff in about two years that day, plunging more than 1,000 points.
Since then, though, expectations of lower Federal Reserve interest rates and improving U.S. economic data have sent stocks soaring. The S&P 500 has surged 8% since Aug. 5 and was less than 1% away from its record high set in mid-July, while the Dow has soared about 7%
The July personal consumption expenditures reading is due for release on Friday.
Prices for the 10-year Treasury stayed put, keeping yields at Friday’s 3.80%.
Oil prices picked up $2,68 at $77.81 U.S. a barrel.
Gold prices vaulted $5.80 to $2,552.10.