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TSX Peaks on Energy Boost

Published 2024-07-12, 06:15 a/m
© Reuters.  TSX Peaks on Energy Boost
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Baystreet.ca - The TSX Composite Index took on 79.09 points to 22,623.22.

The Canadian dollar sank 0.06 cents to 73.33 cents U.S.

In corporate news, mining group Rio Tinto (LON:RIO) is studying a refreshed list of takeover targets, including miner Teck Resources (TSX:TECKa), after BHP's takeover bid for Anglo American (JO:AGLJ) failed, according to a Sky News report.

Teck shares galloped $1.45, or 2.2%, to $68.95.

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 2.36 points to 588.91.

All but two of the 12 TSX subgroups made gains at the opening Friday, with consumer discretionary stocks climbing 1.1%, communications up 1%, and consumer staples 0.6%.

Among the laggards, consumer staples dropped 0.5%, and materials slid 0.1%.

ON WALLSTREET

U.S. stocks were higher on Friday after the S&P 500 had its worst session since April, driven by a rotation out of megacap technology stocks.

Investors evaluated the start of second-quarter earnings reporting season with banks including JPMorgan Chase (NYSE:JPM) and Citigroup.

The Dow Jones Industrials gained 82.45 points to 39,836.20.

The S&P 500index picked up 27.32 points to 5,611.86.

The NASDAQ surged 136,70 points to 18,420.11.

Banks kicked off earnings results Friday. Wells Fargo (NYSE:WFC) shares tumbled 7% after the bank said net interest income, a key measure of lending profitability for banks, fell short of expectations in the second quarter. The bank also continues to see net interest income falling from 7% to 9% this year. JPMorgan shares were 2% even as the bank posted second-quarter revenue higher than Wall Street expectations on a jump in investment banking fees. Citi stock dipped 2% despite beating on the top and bottom line in the second quarter.

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.

Nvidia (NASDAQ:NVDA) was marginally higher in trading Friday.

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 ground, lowering yields to 4.20% from Thursday’s 4.21%. Treasury prices and yields move in opposite directions.

Oil prices advanced 37 cents at $82.99 U.S. a barrel.

Gold prices sank $12.70 to $2,409.20

This content was originally published on Baystreet.ca

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