Canadian Stock Market Recovers, U.S. Markets Rally
Canada’s stock market experienced a positive turnaround on Monday, with the TSX Composite Index ending higher despite early losses. This followed a similar trend in U.S. stock markets, where major indexes snapped six-day losing streaks. The recovery was attributed to reduced concerns about tensions between Israel and Iran, as well as a shift towards a more risk-tolerant trading day.
U.S. Stock Market Performance
In New York, the Dow Jones Industrial Average gained 253.58 points, the S&P 500 index rose 43.37 points, and the Nasdaq Composite surged 169.30 points. Markets will closely monitor big tech earnings this week for guidance on the rest of the year.
Factors Affecting Canadian Market
While the TSX Composite Index initially declined due to falling resource prices, it ended up closing higher by 64.59 points. Gold miners were among the biggest drags, with Kinross Gold Corp. and Barrick Gold Corp. experiencing significant declines. This is likely related to easing tensions in the Middle East, as gold is often seen as a safe haven asset during geopolitical uncertainties.
Oil and Currency Markets
The benchmark May crude oil contract dropped 29 cents to US$82.85 per barrel, while the May natural gas contract gained four cents to US$1.79 per mmBTU. The Canadian dollar traded at 72.91 cents US, slightly higher than Friday’s closing rate.
