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The screens at the TMX Broadcast Centre in Toronto show the closing numbers of the TSX at + 252.19 on Tuesday, July 3, 2012.
The screens at the TMX Broadcast Centre in Toronto show the closing numbers of the TSX at + 252.19 on Tuesday, July 3, 2012.
(Matthew Sherwood)

TSX should be a laggard no longer in 2014: CIBC

The S&P/TSX composite index is poised for a strong 2014, after turmoil in gold, financials and telecoms made it a laggard to the U.S. S&P 500, CIBC analyst Benjamin Tal says.

The Toronto stock index has risen by 6 per cent year to date, while the U.S, benchmark index has gained 22 per cent.

“Over the past two decades, whenever the TSX lagged the S&P 500 by a wide margin, it rebounded by an average of no less than 16 per cent in the following year,” Mr. Tal said in a note to clients. “And the coming year may be no exception — mainly given that the TSX underperformance reflected an array of events impacting a number of different sectors.”