So Long, Losing Streak
Equinox, Fortuna Lead Charge on TSX
The drought on Canadian markets finally ended on Wednesday, after consecutive days of losses which drained much of the strength of the main indexes.
The TSX Composite more than made up for losses on Tuesday, sprinting 341.01 points, or 1.9%, higher to smash its multiple-session losing streak, finishing Wednesday at 18,648.92.
The Canadian dollar screamed higher 0.54 cents to 73.42 cents U.S.
Golds shone brightest, with Equinox Gold climbing 67 cents, or 16%, to $4.86, while New Gold added 16 cents, or 16%, to $1.16.
Other resource stocks followed in gold's wake, as Endeavour Silver chugged ahead 41 cents, or 11.9%, to $3.85, while Fortuna Silver took on 30 cents, or 10.4%, to $3.18.
In energy plays, Tamarack Valley Energy popped 30 cents, or 8.6%, to $3.78, while Peyto Exploration captured 71 cents, or 7%, to $10.88.
Utilities proved the only subgroup to get bruised, as Innergex subsided 41 cents, or 2.3%, to $17.66, while Brookfield Infrastructure Partners faded $1.09, or 2.1%, to $49.93.
The TSX Venture Exchange recovered 13.71 points, or 2.4%, to 587.62.
All but one of the 12 TSX subgroups were positive on the day, with gold soaring 5.3%, materials and energy each improving 4.3%.
Only utilities kept the shutout at bay, losing 0.4%.
The Dow Jones Industrial Average mounted a big comeback from its 2022 low as the Bank of England said it would buy bonds to stabilize its financial markets, a stunning reversal in the monetary tightening policies implemented this year by most central banks to stifle inflation.
The 30-stock index leaped 548.75 points, or 1.9%, to end Wednesday at 29,683.74
The S&P 500 advanced 71.75 points, or 2%, to 3,719.04, one day after the index broke below the June intraday low.
The NASDAQ Composite soared 222.13 points, or 2.1%, to 11,051.64.
The Dow and the S&P 500 snapped six-day losing streaks.
The rally was broad-based. One notable outlier was Apple which was down 1.3% after a Bloomberg report.
Home Depot was the best performer in the Dow, up more than 5%. Construction stocks could be a beneficiary of national disasters, like the hurricane that hit Florida on Wednesday.
Other top performers include Boeing, up 4.8%, and Disney, up 3.8%.
The Bank of England said it would temporarily purchase long-dated U.K. government bonds in an effort to stabilize its plunging currency. Sterling briefly popped on the news and was last trading 0.1% lower against the dollar at $1.0726.
Treasury prices popped, pushing yields down to 3.73% from Tuesday's 3.97%. Treasury prices and yields move in opposite direction.
Oil prices gained $3.52 to $82.02 U.S. a barrel.
Gold prices popped $32.20 to $1,668.40 U.S. an ounce.
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.