Canada’s main stock index opened higher on Friday, led by energy shares tracking a jump in oil prices, while investors assessed U.S. jobs data.
The TSX recovered 174.62 points to open November and the week’s last session at 24,331.49. On the week so far, the index is still behind last week’s close by 132 points, or 0.54%.
The Canadian dollar surged 0.13 cents to 71.89 cents U.S.
Canada’s energy sector could get a boost as oil prices climbed over $1 a barrel after reports that Iran was preparing a retaliatory strike on Israel from Iraq in the coming days.
In corporate news, Magna International reported third-quarter profit below analysts’ estimates. Magna shares soared $4.54, or 8.3%, to $59.51.
On the economic calendar, Markit PMI reported Manufacturing PMI in Canada increased to 51.10 points in October from 50.40 points in September. Manufacturing PMI in Canada averaged 52.33 points from 2011 until 2024, reaching an all-time high of 58.90 points in March 2022 and a record low of 33 points in April 2020.
ON BAYSTREET
The TSX Venture Exchange added 5.63 points to 607.06, still behind last week’s close by nearly 13 points, or more than 2%.
All but one of the 12 TSX subgroups had moved positive, with consumer discretionary stocks shooting 1.8%, health-care up 1.4%, and energy ahead 1.2%.
Only utilities were negative, off 0.3%.
ON WALLSTREET
Stocks climbed Friday to kick off November as Amazon led big technology stocks into the green and traders looked past a disappointing jobs report.
The Dow Jones Industrials climbed 418.06 points, or 1%, at 42,181.53.
The S&P 500 index 49.39 points to 5,755.
The NASDAQ vaulted 176.32 points, or 1.1%, to 18,271.47.
Amazon rallied more than 6% as strength in the cloud and advertising businesses propelled the ecommerce giant above Wall Street’s earnings expectations. Intel popped 5.3% after exceeding analysts’ forecasts for revenue and offering strong guidance. The two stocks improved sentiment following some notable earnings disappointments this week.
Meanwhile, the jobs report released on Friday showed the U.S. economy added just 12,000 jobs in October, far below the Dow Jones estimate of 100,000. This marked the weakest level of jobs creation since December 2020. The unemployment rate, held at 4.1%, in line with estimates. However, traders were not reacting too much to the jobs figures, believing the dismal data was impacted by hurricanes and a Boeing strike.
In addition to the U.S. Presidential election on Nov. 5., which has led to elevated volatility, investors are also looking toward the Fed’s two-day policy meeting on Nov. 6 and Nov. 7.
Prices for the 10-year Treasury recovered strength, lowering yields back to Thursday’s 4.28%. Treasury prices and yields move in opposite directions.
Oil prices acquired 98 cents to $70.24 U.S. a barrel.
Prices for gold brightened $8.20 an ounce to $2.757.80 U.S.