TSX Keeps Momentum Going at Wednesday Open
Equity markets in Toronto opened higher on Wednesday, driven by gains in energy stocks as improving risk appetite drove oil prices higher.
The TSX Composite index picked up from where it left off in the momentum category, adding 173.55 points to kick off Wednesday at 20,116.26.
The Canadian dollar gained 0.25 cents to 79.15 cents U.S.
Air Canada said on Tuesday it has all the qualified pilots it needs to meet higher travel demand with the planned return of U.S. tourists to the country.
Shares in "The Maple Leaf airline" gained 65 cents, or 2.6%, to $25.61.
Canadian National Railway on Tuesday reported a 12.1% rise in quarterly revenue, as the country's biggest railroad operator shipped more petroleum, chemicals and intermodal freight.
CN shares accumulated $1.73, or 1.3%, to $131.52.
CIBC raised the target price on Emera to $59.00 from $58.00. Emera shares grew 10 cents to $58.04.
National Bank of Canada ups the price target on Premium Brands Holdings to $136.00 from $134.00. Premium shares faded nine cents to $126.57.
CIBC raises target price on WSP Global to $157.00 from $150.00. WSP shares gained 99 cents to $146.26.
The TSX Venture Exchange rocketed 9.12 points, or 1%, to 898.98
Eight of the 12 TSX subgroups were positive to begin the day, energy gushing 2.7%, financials richer by 1.2%, and health-care haler 1%.
The four laggards were weighed most by gold, down 0.3%, consumer staples, slumping 0.2%, and communications sliding 0.1%.
U.S. stocks are higher on Wednesday as equities continue their rebound from a one-day rout to start the week.
The Dow Jones Industrials sprang 262.18 points, to open for business Wednesday at 34,774.17.
Better-than-expected earnings reports from Dow members Coca-Cola and Johnson & Johnson added to the bullish sentiment.
The S&P 500 climbed 25.97 points to 4,349.03
The NASDAQ added 48.25 points to 14,547.13, even though shares of Netflix declined on a disappointing subscriber forecast.
Stocks that would benefit most from a continued swift economic reopening are set to bounce again on Wednesday after rebounding from the Monday selloff in the prior session. Shares of Carnival were up more than 8%. Las Vegas Sands was up nearly 3%.
Dow member Coca-Cola gave a boost to market sentiment after reporting quarterly revenue that topped pre-pandemic 2019 levels and raising its full-year forecast. Coca-Cola shares gained more than 2%.
Fellow Dow member Johnson & Johnson’s stock is trading nearly flat even after the drugmaker reported better than expected second-quarter earnings and revenue and also raised its 2021 guidance.
Moderna joined the S&P 500, giving the stock a 20% boost from when the addition was announced a week ago. Shares of the drugmaker are trading more than 3% lower, however.
Verizon shares are up 1.1% in after reporting better-than-expected revenue and subscriber growth and raising its full-year outlook.
Shares of Chipotle rose over 8% as the Mexican fast-food chain reported quarterly revenue that surpassed pre-pandemic levels as dine-in customers returned to its restaurants.
Netflix reported disappointing third quarter subscriber guidance after the bell on Tuesday. The streaming giant said it expects 3.5 million net subscribers in the third quarter, nearly two million below analysts’ estimates. The company also reported earnings that missed expectations.
Netflix shares were last down 2.9%.
About 85% of S&P 500 companies that have reported so far have beaten estimates.
Prices for 10-Year Treasurys fell, raising yields to 1.27% from Tuesday’s 1.22%. Treasury prices and yields move in opposite directions.
Oil prices took on $2.27 to $69.47 U.S. a barrel.
Gold prices lost eight dollars to $1,803.40 U.S. an ounce.