Stock markets in Canada closed up on Wednesday, on the back of broad strength in energy stocks.
Canada’s main stock index, the S&P/TSX Composite Index, closed up 0.4% at 16,396 points, with the energy sector leading the way, up 1.7%.
Notable gainers included Baytex Energy Corp (TSE:BTE) which was up 14.7% at C$2.81, while Whitecap Resources Inc (TSE:WCP) was up 7.7% at C$5.75.
The TSX Venture Exchange was up 0.1% to close at 629.09 points.
The Canadian Securities Exchange was up 2.2% at 885.48 points.
1:30 pm: Markets higher on strength in energy shares by midday trading
The TSX continued to gain on Wednesday afternoon, up an additional 0.4% to sit at 16,391 points by early afternoon.
The Venture exchange saw slightly more modest gains of 0.1% to remain relatively flat at 629 points.
The CSE also gained over a percentage point to hit 878 points.
The Flowr Corporation (CVE:FLWR) shares were running up on Wednesday, increasing nearly 14% to hit C$6.66. The cannabis company has applied to list on the NASDAQ exchange.
Meanwhile, Zenabis Global Inc (CVE:ZENA) was down around 5% to $2.65 after some management changes were announced.
10:22 am: Canadian markets back in positive territory in quiet start to Wednesday
Canadian markets were back in positive territory in a quieter start to the trading day compared to earlier this week.
The TSX ended its seven-day losing streak on Tuesday amid renewed concerns of slowing global growth.
Canada’s largest exchange opened Wednesday at 16,288 and gained nearly 50 points to trade around 16,387 as the morning progressed, a gain of 0.3%.
All but one of the major indices were in the green on Wednesday, led by mining, energy and utilities shares.
The TSX Venture also rose from opening levels to trade at 629 points.
The Canadian Securities Exchange was up as well after yesterday’s losses, at 878 points.
Cable company Cogeco Communications Inc (TSE:CCA) led early gains on the TSX, up almost 8% to around $83 despite Q2 financials showing a drop in profits but a higher dividend.
Energy companies Crescent Point Energy Corp (TSE:CPG), MEG Energy Corp (TSE:MEG) and Baytex Energy Corp (TSE:BTE) were all up around 5% during the morning.
No shares were big movers to the downside, with Neptune Wellness Solutions Inc (TSE:NEPT) and Dirtt Environmental Solutions Ltd (TSE:DRT) leading losses with a modest 2% dip.
On the commodities front, oil prices kept up its gains with a 0.7% increase to trade at US$64.42, and gold regained steam to sit at US$1,306.
The Canadian dollar continued to hover at US$0.75.
Global markets: Wall Street shows soft gains as traders await Fed minutes
US markets edged up at the open, but the Dow remained flat as traders awaited the minutes of March’s Federal Open Market Committee meeting.
The Fed decided to hold interest rates at their current level through 2019, and the minutes of its March meeting will be released during the Wednesday session.
The Consumer Price Index gave investors an early boost of confidence. Data from the Bureau of Labor Statistics revealed CPI grew 0.4% in March. That’s up from a 0.2% growth in February and came in ahead of the consensus estimate of 0.3% growth.
Meanwhile, traders got bad news from the International Monetary fund Tuesday night. The agency cut its outlook for global economic growth in 2019 to 3.3%, down from 3.5% in January and 3.7% in October, according to the Wall Street Journal.
The Dow Jones Industrial Average was flat at 26,251.1, the Nasdaq climbed 0.2% to 7,928.5 and the S&P 500 was up 0.2% to 2,884.3.
Small-caps stocks followed suit. The Russell 2000 advanced 0.3% to 1,564.4, and the S&P 600 increased 0.3% to 956.
In Europe, the London FTSE fell 0.2% to 7,412.6 after the European Central Bank kept interest rates at 0%. Investors are still waiting for a decision on UK Prime Minister Theresa May’s request for a Brexit delay.
The French CAC rose 0.5% to 5,456.8, and the German DAX was up 0.5% to 11,914.4.
In Asia overnight, the Nikkei 225 closed down 0.5% at 21,687.6 in Japan, while the Shanghai Composite Index grew 2 points to 2,241.9.
Andrew Kessel contributed to this report
Contact Angela at angela@proactiveinvestors.com
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