Stocks Stage Recovery

By Baystreet Stock Market Update

Aphria, Cenovus stand out

Equities in Canada’s largest market opened higher on Friday, tracking global equity markets, which bounced back after a sharp selloff this week.

The S&P/TSX Composite Index regained 97.79 points to begin the last session of a brutal week at 15,414.92

The Canadian dollar gained 0.08 cents to 76.83 centsU.S.

Air Transat officials said the carrier could expand a partnership deal with the airline arm of British tourism group Thomas Cook to include codesharing and interlining. Transat shares took on seven cents, or 1%, to $7.09.

Enbridge on Thursday said a 30-inch natural gas pipeline in northern British Columbia has become operational after being shut down due to a fire in an adjacent line, which led to supply disruptions in the U.S. state of Washington.

Enbridge hiked 42 cents, or 1%, to $41.91.

Cannabis producer Aphria Inc posted a 41% rise in quarterly profit, boosted by gains from its investments in Liberty Health Sciences and Hiku Brands Co. Aphria shares dipped seven cents to $19.63.

Morgan Stanley cut the target price on Cenovus Energy to $17.00 from $18.00. Cenovus shares docked three cents to $11.66.

Raymond James raised the rating on Element Fleet Management to strong buy from outperform. Element Fleet shares gained 38 cents, or 4.7%, to $8.49.

ON BAYSTREET

The TSX Venture Exchange recovered 4.11 points to 695.57

All but two of the 12 subgroups burst into positive territory in Friday’s first hour, led by health-care, up 2.4%, information technology, up 1.8%, and consumer discretionary, better by 1.3%.

The two laggards were gold, down 1.9%, and materials, scaling back 0.3%.

ON WALLSTREET

Stocks surged on Friday as worries over rising rates subsided and tech shares rebounded from steep losses earlier this week.

The Dow Jones Industrial Average recovered 337.97 points, or 1.4%, to begin Friday at 25,390.80, as Visa surged 4.5%.

On Thursday, Wall Street closed sharply down, with the Dow falling over 540 points, bringing its two-day losses to more than 1,300 points.

The S&P 500 resurfaced 44.63 points, or 1.6%, to 2,772.80, with the tech sector surging 2.5%.

The NASDAQ picked up 178.59 points, or 2.4%, to 7,507.65, climbing more than 2%.

Netflix zipped 5.1% higher, while Amazon improved 4.4%, and Apple gained 3%. Facebook rose 1.4% and Alphabet advanced 2.5%.

Stocks have also fallen this week as tech — the biggest S&P 500 sector by market cap weight — has lost nearly 6.8% through Thursday’s close. These losses have sent the major indexes down more than 5%, on pace for their biggest weekly declines since March.

Sentiment was also lifted by stronger-than-expected third-quarter results from J.P. Morgan Chase and Citigroup, which sent their stocks up by more than 1% each. Wells Fargo also reported a better-than-forecast profit.

Expectations for this earnings season are high. Analysts polled by FactSet expected S&P 500 earnings to grow by 19%.

Prices for the benchmark for the 10-year U.S.Treasury fell back, raising yields to 3.17% from Thursday’s 3.15%. Treasury prices and yields move in opposite directions.

Oil prices regained 50 cents at $71.47U.S. a barrel.

Gold prices dropped $1.30 to $1,226.30U.S. an ounce.

This article provided by NewsEdge.