Stocks proved the place to be all over North America Friday, as indexes roared ahead on anticipation of much lower interest rates in the coming weeks.
The TSX Composite Index leaped 132.06 points Friday to close out a shortened week 24,822.54. The gain on that shortened week was 351 points, or 1.44%. Markets were shuttered Monday for Thanksgiving in Canada.
The Canadian dollar let go of 0.07 cents to 72.42 cents U.S.
The Canadian central bank’s policy meeting is due next week, and investors have raised their expectations for a larger-than-usual interest rate cut following Tuesday’s unexpectedly low inflation data.
Traders are betting high on a 50-basis-point cut at the meeting on Oct. 23, the odds of which stand at 91.7%.
A larger cut can provide a much-needed boost to the domestic economy, whose annual inflation level has dropped below the central bank’s 2% target.
In corporate news, Dundee Corporation announced it acquired two million common shares of Greenheart Gold at the price of $0.50 per share. Dundee shares picked up 40 cents, or 2.8%, to $14.54.
The consumer discretionary also gained, supported by a rise of $1.71, or 2.9%, in auto parts supplier Magna International to $60.06.
Among individual stocks, Calibre Mining fell 16 cents, or 5.6%, to $2.63. after it announced third-quarter and year-to-date gold production.
Gold shone the brightest among subgroups, with Iamgold surging $1.18, or 16.7%, to $8.24, while Equinox Gold rocketed 43 cents, or 4.3%, to $10.34.
In other resource stocks, First Quantum Minerals jumped $1.35, ort 14.5%, to $10.09, while Pan American Silver took on $3.32, or 10.9%, to $33.81.
Consumer discretionary stocks marched ahead, with Aritzia hiking $1.40, or 3.2%, to $45.09, while Magna International leaped $1.75, or 3%, to $60.10.
Industrials put something of a brake on the market, as Bombardier retreated $4.26, or 3.9%, to $105.99, while Brookfield Business Partners units faded 53 cents, or 1.6%, to $32.65.
Real-estate issues also fared less-than-glorious, as Granite REIT units dropped $1.67, or 2.1%, to $76.97, while Dream Industrials REIT lost 24 cents, or 1.7%, to $13.72.
In energy, MEG Energy topped 62 cents, or 2.4%, to $25.66, while Tamarack Valley Energy ditched nine cents, or 2.3%, to $3.90.
ON BAYSTREET
The TSX Venture Exchange hiked 12.72 points, or 2.1%, to 621.67, popping 16 points, or 2.7%, on the week.
Eight of the 12 TSX subgroups were positive by the close Friday, with gold towering 3.7%, materials progressing 3.2%, and consumer discretionary stocks hiking 0.6%.
The four laggards were weighed most by industrials, shedding 0.4%, real-estate, weakening 0.3%, and energy, off 0.2%.
ON WALLSTREET
The NASDAQ rose Friday, led by a post-earnings jump in Netflix, as Wall Street looked to close a record-setting week.
The Dow Jones Industrial gained 36.86 points by day’s end to 43,275.91.
The S&P 500 index advanced 23.22 points to 5,864,69.
The tech-heavy NASDAQ rumbled 115.94 points to 18,489.55.
For the week, the three major averages were headed for their sixth straight positive week. That would mark the longest weekly winning streaks in 2024 for both the Dow and S&P 500.
The S&P 500 and NASDAQ were up around 0.6% week to date, and the Dow has climbed 0.5%.
The three major averages were headed for their sixth straight positive week. That would mark the longest string of weekly advances in 2024 for both the Dow and S&P 500. The S&P 500 and NASDAQ are up around 0.6% week to date, and the Dow has climbed 0.5%.
So far, more than 70 S&P 500 companies have reported earnings. Of those, 75% have beaten expectations.
Netflix climbed 10% on Friday after the streaming giant beat Wall Street’s earnings and revenue estimates in the third quarter, while reporting a 35% jump in ad-tier memberships from the prior three-month period. Procter & Gamble also reported better-than-expected earnings, while revenue fell short of estimates.
Friday’s moves come after a rally in Travelers propelled the Dow to finish Thursday at an all-time closing high. The broad S&P 500 inched lower despite notching a fresh intraday high during the session, while the technology-heavy NASDAQ concluded modestly higher.
Prices for the 10-year Treasury gained a bit, lowering yields to 4.08% from Thursday’s 4.10%. Treasury prices and yields move in opposite directions.
Oil prices lost $1.22 to $69.45 U.S. a barrel.
Gold prices added $27.10 to $2,734.60 U.S. an ounce