TSX Lulls in Afternoon, but Rallies to Finish in Plus Territory
The TSX Composite Index gained 54.5 points to finish Friday at 20,622.34. On the week, the gain was 547 points, or 2.72%.
The Canadian dollar settled 0.07 cents at 73.92 cents U.S.
Gold stocks proved the strongest of the bunch, with Iamgold acquiring 23 cents, or 7.1%, to $3.46, while Equinox Gold captured 23 cents, or 3.4%, to $6.94.
Other resources were in the winners’ circle, too, including Lithium Americas, ahead $1.58, or 5.9%, to $28.42, while First Majestic Silver added 34 cents, or 4.5%, to $7.92.
Utilities also shone, as Boralex grew 44 cents, or 1.3%, to $33.42, while Brookfield Renewables gained 40 cents, or 1.1%, to $35.51.
Gains overall, however, were limited by weakness in tech stocks, especially, Dye & Durham, which was clobbered $1.36, or 8.3%, to $15.09, while HUT 8 Mining retreated 13 cents, or 4.4%, to $2.81.
Prime Minister Justin Trudeau on Thursday said he had summoned the country's top grocers to help solve the surging food prices and vowed to cut federal taxes on new rental buildings as consumers battle high prices.
Thus, consumer staples sector took a hit, particularly Loblaw, down $2.48, or 2.1%, to $115.20, while Jamieson Wellness doffed 46 cents, or 1.8%, to $25.67.
Real-estate stocks also suffered, as First Service lost $5.22, or 2.4%, to $208.38, while Colliers International slid $2.68, or 1.8%, to $149.80.
On the economic schedule, Statistics Canada said foreign investment in Canadian securities totaled $11.6 billion in July, a fourth consecutive month of strong investment. Meanwhile, Canadian investors acquired $2.6 billion of foreign securities, down from a $14.4-billion investment in June.
New motor vehicle sales totaled 147,401 in July, compared to 168,590 in the prior-year month.
The Canadian Real Estate Association said national home sales declined 4.1% month-over-month in August. Actual (not seasonally adjusted) monthly activity came in 5.3% above August 2022.
The TSX Venture Exchange inched forward 2.7 points to 590.76, for a weekly gain of 9.6 points, or 1.66%.
Eight of the 12 TSX subgroups dropped into the red by the closing bell, weighed most by information technology, down 1.2%, consumer staples, sliding 0.9%, and real-estate, off 0.7%.
The four gainers were led by gold, hiking 1.7%, materials, up 1%, and utilities, inching ahead 0.2%.
Stocks fell Friday as investors wrap up a volatile week ahead of the Federal Reserve’s policy meeting.
The Dow Jones Industrials tumbled 288.87 points to close out Friday and the week at 34,618.24. At its lows, it completely wiped out Thursday’s 332-point rally.
The S&P 500 index sank 54.78 points, or 1.2%, to 4,450.32.
The NASDAQ index plunged 217.72 points, or 1.6%, to 13,708.33.
The Dow held onto a winning week. The S&P 500 and NASDAQ both closed out the week with losses.
Information technology was the worst-performing sector in the S&P 500, down nearly 2%. Adobe shares fell more than 4% even after the software firm posted better-than-expected quarterly results. Shares of Arm Holdings were lower one day after its successful public debut.
Auto stocks General Motors and Stellantis N.V. were higher Friday, while Ford Motor was about flat. Thousands of members of the United Auto Workers went on strike after failing to reach a deal with the automakers Thursday night.
Elsewhere, Lennar shares slid 3%. The home construction firm posted third-quarter results that beat on the top and bottom lines.
On the economic front, the University of Michigan’s consumer sentiment survey showed one-year inflation expectations dropped to 3.1% in
September, tied for the lowest since January 2021. Also, the five-year outlook fell to 2.7%, matching its lowest since December 2020.
Stocks are headed for a winning week, with the Dow on pace for a near-1% gain and its second positive week in three. The S&P has progressed 1.1%, and the NASDAQ has jumped about 1.2%, putting them on track for their third positive weeks in four.
Prices for the 10-year Treasury declined, raising yields to 4.33% from Thursday’s 4.29%. Treasury prices and yields move in opposite directions.
Oil prices strengthened 97 cents, or 1.1%, to $91.12 U.S. a barrel.
Gold prices shone brighter $11.20 to $1,944.00 U.S. an ounce.
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