Equities in Canada’s largest centre hit a record high on Thursday, lifted by consumer discretionary and mining stocks, as China’s assurance of more stimulus lifted investor sentiment.
The TSX Composite Index leaped 185.26 points to kick off Thursday at 24,091.14.
The Canadian dollar inched up 0.09 cents to 74.26 cents U.S.
In corporate news, Fortis announced a new $26-billion five-year capital plan and declared a 4% increase in fourth-quarter dividend. Shares in Fortis began Thursday up 37 cents to $61.07.
The consumer discretionary sector posted among the biggest of the sectoral gains, supported by the shares of auto parts supplier Magna International, which lifted off $2.74, or 5%, to $57.12.
In the economic docket, the number of employees receiving pay and benefits from their employer—measured as “payroll employment” in the Survey of Employment, Payrolls and Hours—increased by 32,800 (+0.2%) in July, following a decline in June (-22,900; -0.1%) and five consecutive monthly increases from January to May.
China on Thursday vowed “necessary fiscal spending” to meet its growth target and announced plans to issue special sovereign bonds worth about two trillion yuan ($284.43 billion U.S.) this year, following the central bank’s policy easing earlier in the week.
ON BAYSTREET
The TSX Venture Exchange regained five points to 596.41.
All but two of the 12 TSX subgroups were higher, with materials stronger 2.2%, consumer discretionary stocks soaring 1.9%, and information technology better by 1.4%.
Energy stocks flopped 2.5%, which consumer staples dipped 0.1%.
ON WALLSTREET
Stocks rose Thursday, regaining their footing after a mixed session, following the release of upbeat U.S. economic data.
The Dow Jones Industrials popped 240.52 points to 42,155.27
The S&P 500 index recovered 14.87 points to 5,737.12, hitting a fresh record, led higher by gains in Micron Technology
The NASDAQ Composite grabbed 68.2 points to 18,150.40.
Micron traded 14% higher after issuing strong guidance for the current quarter. Results for Micron’s fiscal fourth quarter also topped analysts’ estimates. Fellow semiconductor-linked stocks Applied Materials and Lam Research both rose 6% in sympathy.
Weekly jobless claims fell more than expected, pointing to a steady labor market. Durable goods orders for August were unchanged versus economists’ expectations for a decline. And the final reading of second-quarter GDP was unrevised at a strong 3%.
Prices for the 10-year Treasury dropped, lifting yields to 3.80% from Wednesday’s 3.79%. Treasury prices and yields move in opposite directions.
Oil prices sank $1.44 at $68.25 U.S. a barrel.
Gold prices nicked ahead $4.20 to $2,688.90 U.S. an ounce