Canada’s main stock index extended its rally to a fifth consecutive day on Thursday, lifted by solid gains in energy shares as oil prices hit a three-month high.
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At 10:38 a.m. ET (1438 GMT), the Toronto Stock Exchange’s S&P/TSX composite index rose 3.32 points, or 0.02 percent, to 13,871.67. Oil prices haven’t closed above that threshold since July.
Overseas, the Shanghai Composite Index in mainland China soared 3.5 per cent to 3,158.12 following a weeklong holiday, while other regional benchmarks struggled following several days of gains.
Suncor Energy Inc pulled the most weight on the positive side, rising 1.3 percent to C$35.90.
Teck Resources Ltd. was among the biggest risers, increasing 7.2%, or 64 cents, to $9.53. Enbridge Inc declined 1.4 per cent to $55.11.
The heavily weighted financial stocks were up moderately, led by Brookfield Asset Management’s 0.8 percent gain to C$43.05.
Canadian National Railway, which had its price target raised by at least one analyst, was another major positive gainer, advancing 1.7% to $80.03. The overall industrials sector added 0.4 per cent.
Traders were reluctant to buy stocks earlier in the day, but dovish minutes from the Fed’s most recent meeting put investors at ease.
On Wall Street, the Dow Jones industrial average of 30 stocks was up 138.46 points at 17,050.75, while the broader S&P 500 index rose 17.60 points to 2,013.43. That gave a more upbeat view of the health of the labor market than Friday’s weak monthly jobs report, which prompted speculation the Fed would not raise rates this year.
The NASDAQ index regained 15.34 points to 4,806.49, with Apple declining about 1%. “This may serve to reinforce the expectation that the Fed is following market expectations, rather than leading”.
On the earnings front, Domino’s Pizza reported results that missed on both the top and bottom line.
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In one of the few economic reports, weekly jobless claims declined to 263,000, a near 42-year low.
