TSX Climbs On Rate Cut Prospects

(MENAFN- Baystreet)
Stock markets in Toronto opened lower on Monday after a surprise job loss in August boosted expectations for a Bank of Canada rate cut later this month.
The TSX Composite Index tailed off 64.99 points to begin Monday's session at 28,985.64.
The Canadian dollar gathered 0.12 cents to 72.39 cents U.S.
In corporate news, Strathcona Resources raised its offer for MEG Energy, seeking to outbid Cenovus Energy. Strathcona shares weakened 52 cents, or 1.4%, to $37.90, while shares in MEG were in the plus column 30 cents, or 1.1%, to $28.65, and those for Cenovus fell 25 cents, or 1.1%, to $21.86.
ON BAYSTREET
The TSX Venture Exchange moved forward 6.79 points to 864.04
All but three of the 12 TSX subgroups were looked downward in the first hour Monday, with telecoms tumbling 1.7%, industrials plunging 1.1%, and consumer discretionary off 1%.
The three gainers proved to be gold, better by 1,3%, materials, ahead 1.1%, and information technology, gaining 0.3%.
ON WALLSTREET
The S&P 500 ticked higher on Monday as investors gear up for a data-heavy week that includes two closely watched readings on inflation.
The Dow Jones Industrials settled 64.54 points to open Monday at 45,336.32.
The broader index recovered 13.21 points to 6,494.71.
The NASDAQ galloped 157.1, to 21,857.49.
Nvidia gained almost 2%, recovering some of its steep losses from the past month, while Meta Platforms gained more than 1%. Other“Magnificent Seven” names such as Amazon and Microsoft were also higher.
Investors are awaiting two critical inflation reports this week for more insight into the health of the economy, after weaker-than-expected hiring data on Friday.
The producer price index report for August is due out Wednesday morning, followed by the consumer price index on Thursday.
The data follows the lackluster August jobs report that helped fuel investor hope that the Federal Reserve is all but assured to lower benchmark interest rates at its policy meeting later this month. The jobs figures also raised the prospect of a half-point rate cut.
Prices for 10-year Treasury gained Monday, lowering yields to 4.05% from Friday's 4.09%. Treasury prices and yields move in opposite directions.
Oil prices moved higher 17 cents to $62.04 U.S. a barrel.
Gold prices obtained $19.90 to $3,673.20 U.S. an ounce.

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