Suncor, Natural Resources Lead Parade
Toronto stocks continued on the march Tuesday, to more all-time highs, powered by gains in energy and consumer staples.
The S&P/TSX Composite Index gained 96.38 points, on top of Monday’s all-time record close, to end Tuesday’s session at 16,548.72
The Canadian dollar slid 0.01 cents at 76.24 centsU.S.
Energy stocks pumped the index up, with Canadian Natural Resources gushing 77 cents, or 1.6%, to $49.04, while Suncor climbed 73 cents, or 1.4%, to $54.74.
Consumer staples were boosted by shares of Alimentation Couche-Tard, which rose $3.91, or 6.9%, to $60.91 after beating analysts’ quarterly profit estimate on Monday.
Elsewhere in the sector, Restaurant Brands International leaped 87 cents, or 1.1%, to $80.95.
Telecoms were also strong, as BCE gained 51 cents to $54.96, while Rogers Communications gathered 44 cents to $64.35.
The only problem spot was in real-estate, where RioCan REIT dipped four cents to $24.54, while Choice Properties REIT dipped a penny to $12.36.
On the economic docket, the value of building permits issued by Canadian municipalities increased 4.7% to $8.2 billion in May. This followed a 4.7% drop in April, the only month this year where municipalities reported a total value below the $8-billion mark.
The TSX Venture Exchange gained 0.64 points to 740.34
All but one of the 12 TSX subgroups were higher on the day, with energy improving 1.5%, consumer staples surging 1.2%, and telecoms ahead 0.8%
Only real-estate, off 0.1%, missed the party.
Stocks closed higher on Tuesday as the latest corporate earnings season got underway while worries of an ongoing trade war declined.
The Dow Jones Industrials spiked 143.07 points to 24,919.66, as DowDuPont and Procter & Gamble outperformed. The 30-stock index also posted its fourth straight day of gains.
The S&P 500 gained 9.67 points to 2,793.84, with telecommunications and staples both rising at least 1%.
The NASDAQ gained three points to 7,759.20
Earnings for the first calendar quarter rose 24% on a year-over-year basis. Wall Street is expecting similar results for calendar second quarter. Analysts expect S&P 500 second-quarter earnings to have grown by 20%
More than 20 companies in the S&P 500 have already released their quarterly results, including PepsiCo. The soft drink and snacks maker posted better-than-expected earnings, sending its shares higher by more than 4%. PepsiCo also said it expects “substantially higher” earnings growth for fiscal fourth quarter.
Pepsi is not the only company to have beaten expectations thus far. One analyst said in a note Tuesday that 86% of the companies that have already reported exceeded their quarterly earnings expectations, posting 24.1% year-over-year growth.
Citigroup, J.P. Morgan Chase, Wells Fargo and Delta Air Lines are all scheduled to report earnings later this week.
Tesla shares finished higher by 1.2% after Bloomberg News reported the company is planning to build a massive plant in China. The report says the plant will have the capacity to build 500,000 vehicles per year.
Prices for the benchmark for the 10-year U.S.Treasury faded, raising yields to 2.87% from Monday 2.86%. Treasury prices and yields move in opposite directions.
Oil prices regained 24 cents to $74.09U.S. a barrel.
Gold prices lost $3.60 to $1,256.00U.S. an ounce.
This article provided by NewsEdge.