Canada’s main stock index opened higher on Tuesday, lifted by mining shares, with investors awaiting key U.S. and domestic economic data as well as political changes after Prime Minister Justin Trudeau announced his plan to resign.
The TSX strengthened 61.47 points to kick off Tuesday at 25,061.26.
The Canadian dollar dropped 0.04 cents to 69.68 cents U.S.
In corporate news, GFL Environmental said it would sell its environmental services division to Apollo Global Management and BC Partners in a deal valued at $8 billion. GFL shares began the day more powerful by 24 cents to $63.33.
Economically speaking, Statistics Canada reported in November, Canada’s merchandise exports increased 2.2% and imports rose 1.8%. As a result, Canada’s merchandise trade deficit with the world narrowed from $544 million in October to $323 million in November.
The IVEY PMI moved ahead to 54.7 in December, from 52.3 in November, well off the 56.3 reading of December 2023.
ON BAYSTREET
The TSX Venture Exchange retreated 0.77 points to 617.42.
All but one of the 12 TSX subgroups were in the green in the first hour, led by gold, brighter by 2.4%, materials, up 1.4%, and energy, rumbling 0.9%.
The lone holdout was information technology, scaling back 1%.
ON WALLSTREET
Stocks traded lower on Tuesday, giving up an earlier gain, as a move higher in Treasury yields raised questions about the possibility of Federal Reserve rate cuts later this year.
The Dow Jones Industrials gained 36.27 points to 42,742.83.
The S&P 500 backpedaled 11.87 points to 5,963.51.
The NASDAQ Composite tumbled 126.83 to 19,738.10.
Shares of Nvidia dipped more than 2%, taking back earlier gains after the company on Monday unveiled new chips for desktop and laptop PCs that use the same Blackwell architecture. The chipmaker had closed at a record level in the previous session. Tesla slipped nearly 3% after Bank of America downgraded the electric vehicle maker given its high valuation and risks associated with its strategy.
Prices for the 10-year Treasury dropped sharply, raising yields to 4.68% from Monday’s 4.61 %. Treasury prices and yields move in opposite directions.
Oil prices surged 57 cents to $74.13 U.S. a barrel.
Prices for gold revived $13.40 an ounce to $2,660.80 U.S.
