Canadian markets ended Thursday on an upswing as investors received positive news about domestic hiring and wholesale trade.
The TSX bounced back from its Wednesday losses to close at 16,244.6, up 0.5%, while the TSX Venture also rose 0.5% to 641.2.
The CSE also saw a 63-point gain to 889, an increase of 7.6%.
Investors were optimistic thanks to data from Statistics Canada that the number of people receiving regular Employment Insurance benefits in January was down 2.2% from December 2018, a sign of life in the Canadian job market.
Wholesale trade also rose a modest 0.6% in January, the second consecutive monthly gain.
The TSX Venture Exchange began Thursday higher at 638.4 before seeing a slight decline to 636.8 in early day trading.
Crude oil prices fell slightly to finish at US$59.88.
Gold was up for the day but fell from its midday peak, finishing at US$1,308.80.
The Canadian dollar finished flat at US$0.75.
Global markets
The Dow flirted with the 26,000 mark Thursday, bolstered by Apple Inc (NASDAQ:AAPL) and strong tech sector gains.
The FAANG stock jumped 3.7% to $195.09 after two analysts raised price targets, and other tech stocks followed suit. Chipmaker Micron (NASDAQ:MU) gained 9.6%, leading a sector that gained 2.5% on the day.
Keeping the Dow on the low side of 26,000 were the money center banks, which had another rough day after the Fed indicated that the economic growth had slowed. The Federal Open Market Committee elected to leave rates unchanged through 2018 on Wednesday. All the money center banks suffered, with JPMorgan Chase and Co (NYSE:JPM) falling the farthest, down 1.6%.
The Dow Jones industrial Average gained 0.9% to close at 25,963.8, the Nasdaq ended 1.4% up at 7,839 and the S&P 500 finished up 1% at 2,854,9.
12:20 Canadian stocks edge higher as US Fed leaves interest rate unchanged
Canadian markets were up slightly on Thursday morning as investors digested the news that the US Federal Reserve would leave interest rates unchanged for the rest of 2019.
In the news, SNC Lavalin’s CEO Neil Bruce denied ever threatening to move the company’s HQ and rejected the idea that 9000 jobs could be at risk, a direct contradiction of the Liberal government’s assertions.
Fitch Ratings Inc warned that the combined debt of Canada’s federal and provincial governemnts is close to a level incompatible with a AAA credit rating, saying that sustained deficits will increase the economy’s exposure to a downturn.
The TSX bounced back from its Wednesday losses to open at 16,156.8 and increased 0.1% to 16,181.2 by 10:15 am.
The TSX Venture Exchange began Thursday higher at 638.4 before seeing a slight decline to 636.8 in early day trading.
Early percentage gainers were Dirtt Environmental Solutions Ltd. (TSE:DRT) (OTCMKTS: DRTTF) up 10.4% to $7.78 and Boyd Group Income Fund (TSE:BYD-UN) (OTCMKTS: (BFGIF) to $139.71, up 7.7%.
Resource stocks were performing well in the morning, with Crescent Point Energy Corp (TSE:CPG) up 3.% on high volume and Argonaut Gold Inc (TSE:AR) (OTCMKTS: ARNGF) up 3.3%.
The Canadian Securities Exchange also began Thursday in positive territory, up 3.2% to 853.1 continuing its March rise. Junior miner Enertopia (CSE:TOP) (OTCMKTS:ENRT) powered 20% higher to $0.03.
Crude oil prices briefly crossed the $60 mark before settling back at $59.89.
Gold continued its rise, up 0.7% to reach US$1,310.80.
The Canadian dollar remained flat at US$0.75.
Global markets
US stocks are seen heading lower in New York after a mainly weak finish as Brexit fears continue and the Federal Reserve kept interest rates on hold.
The central bank indicated that while labor markets remained strong, growth had slowed.
The Dow Jones Industrial Average closed down nearly 142 points at 25,745, while the S&P 500 lost around eight. The Nasdaq however closed up around five at 7,728.
In Europe, benchmarks are also generally lower though FTSE 100 is ahead by 28 points at 7,319. The German DAX is off around 61.
It comes as the UK Prime Minister Theresa May heads to Brussels in a high-octane meet with other EU leaders in a last ditch attempt to convince them to grant a brief extension to the Brexit process until June 30, despite the suggestion that that won't happen unless she gets her withdrawal agreement through.
Originally, the key departure date was March 29.
In Asia overnight, stocks gained, with the Nikkei 225 up 42 at 21,608, while the Shanghai Composite Index added nearly 11.