Stocks Keep Rolling to Start July
Canada''s resources-heavy stock index rose on Monday as oil prices gained and investors returned from a long weekend to buy riskier assets that have been battered by concerns over a global economic slowdown. The SP|TSX hiked 233.07 points, or 1.2%, by noon hour Monday, to 19,084.43. The Canadian dollar gained 0.16 cents to 77.61 cents U.S. Markets were closed Friday for Canada Day. Energy did most of the rumbling, with Vermilion Energy skyrocketing $2.17, or 8.9%, to $26.67, while Advantage Oil Gas claimed 70 cents, or 8.8%, to $8.70. In gold, Alamos Gold tacked on 68 cents, or 7.5%, to $9.71, while Equinox Gold gained 29 cents, or 5.1%, to $6.03. Among materials, Interfor collected $1.06, or 4.1%, to $27.00, while Franco Nevada moved forward $6.64, or 3.8%, to $175.78. Money markets see about an 80% chance of a 75-basis point interest rate increase by the Bank of Canada in July after surprisingly high inflation in May showed consumer prices at a 40-year high. With the price of everyday essentials surging, the risk of inflation becoming entrenched is growing.
Stocks Keep Rolling to Start July
Canada''s resources-heavy stock index rose on Monday as oil prices gained and investors returned from a long weekend to buy riskier assets that have been battered by concerns over a global economic slowdown. The SP|TSX hiked 233.07 points, or 1.2%, by noon hour Monday, to 19,084.43. The Canadian dollar gained 0.16 cents to 77.61 cents U.S. Markets were closed Friday for Canada Day. Energy did most of the rumbling, with Vermilion Energy skyrocketing $2.17, or 8.9%, to $26.67, while Advantage Oil Gas claimed 70 cents, or 8.8%, to $8.70. In gold, Alamos Gold tacked on 68 cents, or 7.5%, to $9.71, while Equinox Gold gained 29 cents, or 5.1%, to $6.03. Among materials, Interfor collected $1.06, or 4.1%, to $27.00, while Franco Nevada moved forward $6.64, or 3.8%, to $175.78. Money markets see about an 80% chance of a 75-basis point interest rate increase by the Bank of Canada in July after surprisingly high inflation in May showed consumer prices at a 40-year high. With the price of everyday essentials surging, the risk of inflation becoming entrenched is growing.