News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Toronto market ends losing streak as energy shares rally

01/25/2022 | 05:17pm EDT
A screen charts the Dow Jones Industrial Average during the trading day on the floor of the NYSE in New York

TORONTO (Reuters) - Canada's main stock index edged higher on Tuesday, bouncing back from a steep sell-off earlier in the day, as resource shares benefited from geopolitical tensions boosting oil and gold prices.

The Toronto Stock Exchange's S&P/TSX composite index ended up 19.68 points, or 0.1%, at 20,590.98, after declining in the five previous trading days.

The index closed 2.3% above its session low, but sentiment remained fragile amid fears that Russia will invade Ukraine and ahead of interest rate announcements on Wednesday by the Bank of Canada and the Federal Reserve.

"A lot of the direction of the markets for the rest of the week is likely going to be determined by what the Fed says or doesn't say tomorrow," said Angelo Kourkafas, investment strategist at Edward Jones.

Investors expect the Fed to signal an interest rate increase in March, while the Bank of Canada could hike for the first time since October 2018.

"We have sentiment that is reaching extremes in terms of investor anxiety and caution," Kourkafas said. "Typically, that sets the stage for a rebound. Especially as we think that the fundamental backdrop remains supportive."

The energy group rose 3.6%, helped by higher oil prices. U.S. crude oil futures settled up 2.8% at $85.60 a barrel on concerns supplies could become tight due to Ukraine-Russia tensions, threats to infrastructure in the United Arab Emirates and struggles by OPEC+ to hit its targeted monthly output increase.

The materials group added 0.6% as gold benefited from its safe-haven status to reach its highest level in more than two months.

Heavily-weighted financials ended 0.3% higher.

Weighing on the market was renewed pressure on technology. The sector gave back its previous day's gains, closing down 3%.

(Reporting by Fergal Smith; Additional reporting by Ambar Warrick; Editing by Bernard Orr)

By Fergal Smith


© Reuters 2022
Stocks mentioned in the article
ChangeLast1st jan.
DJ INDUSTRIAL 0.03% 31261.9 Real-time Quote.-13.99%
US DOLLAR / RUSSIAN ROUBLE (USD/RUB) 0.00% 61.75 Delayed Quote.-17.11%
Latest news "Economy & Forex"
04:43aUK PM Johnson must explain meeting with 'partygate' report author, says opposition Labour
RE
04:15aBiden and S.Korea's Yoon vow to deter N.Korea, tackle new threats
RE
04:07aEarthquake hits north of Norway's Svalbard, no reports of damage
RE
03:56aU.S., others walk out of APEC talks over Russia's Ukraine invasion - officials
RE
03:27aShanghai inches towards COVID lockdown exit, Beijing plays defence
RE
03:13aRussia stops gas flows to Finland over payments dispute
RE
03:10aThree Italians kidnapped in southern Mali
RE
03:07aS&P raises South Africa's outlook to 'positive' on trade terms, fiscal discipline
RE
02:57aBritain wants to arm Moldova to protect it from Russian threat - The Telegraph
RE
02:45aUKRAINE AND RUSSIA : What you need to know right now
RE
Latest news "Economy & Forex"