Loonie flirts with 73 cents, TSX also rises

TORONTO -- The Toronto stock market and the loonie were both ahead for a second consecutive session Thursday as metal prices continued to trend higher in the face of a weakening U.S.

See Full Article

dollar.

At mid-afternoon, the S&P/TSX composite index was up 148.01 points at 12,741.03, its second triple-digit increase in as many days.

The Canadian dollar was also higher for a second day, up 0.15 of a U.S. cent at 72.76 cents US after having soared 1.32 cents Wednesday in its biggest one-day gain in almost four years.

In New York, markets were mixed, with the Dow Jones industrial average up 18.94 points to 16,355.60, while the broader S&P 500 lost 3.60 points to 1,908.93. The Nasdaq composite fell 15.29 points to 4,488.95.

In commodities, the April gold bullion contract rose $13.70 to US$1,155.00 a troy ounce, while the March copper contract added three cents to US$2.12 a pound, helping make mining issues among the leading advancers on the TSX.

Meanwhile the March oil contract, which enjoyed a big run-up of $2.40 a barrel Wednesday, gave back 60 cents to US$31.68, while March natural gas fell seven cents to US$1.97 per mmBtu.

Some of the recent strength in commodities can be attributed to the falling greenback. Commodities are priced in U.S. dollars so as it falls it makes them more affordable to holders of other currencies.

The U.S. dollar has weakened recently against many other major currencies amid indications of a slowdown in the American economy and growing expectations that the U.S. Federal Reserve will decide against further interest rate increases later this year.

There was some more bad news for the U.S. economic front Thursday as the U.S. Commerce Department reported U.S. factory orders fell 2.9 per cent in December. It was the fourth such contraction in the last five months and closed out a year in which demand for American manufactured goods retreated for the first time in six years.

Meanwhile, the Labor Department reported that U.S. productivity fell three per cent in the fourth quarter in the biggest such quarterly decline in nearly two years.

"The market is starting to price in a small chance of recession, not some realistic chance, but enough of a chance to give investors pause and reposition," Khoa Le, who co-heads a derivatives trading desk at Credit Suisse, told The Associated Press.



Advertisements

Latest Economic News

  • Alibaba's online payment platform AliPay coming to Canada: company

    Economic CTV News
    TORONTO - Chinese online shopping giant Alibaba Group's online payment platform AliPay will officially launch in Canada through a partnership with Canadian tech firm Snap Pay Inc. Canadian retailers will be able to accept Chinese currency from Chinese shoppers starting this week. Source
  • U.S. dairy takes aim at Canadian supply management in round 3 of NAFTA

    Economic CTV News
    OTTAWA -- The first punches in what promises to be a bitter fight over Canada's protected dairy industry are expected to be thrown during this week's third round of North American Free Trade talks in Ottawa. Source
  • C'est la vie: Canadian energy producer accepts French drilling ban with a shrug

    Economic CTV News
    CALGARY -- The traditional 20th anniversary present is china but Canada's Vermilion Energy Inc. is getting quite a different gift for its second decade as a light oil producer in France: a divorce petition with an implementation date of 2040. Source
  • How car dealerships upsell you: CBC's Marketplace consumer cheat sheet

    Economic CBC News
    Miss something this week? Here's the consumer news you need to know from CBC's Marketplace. Get this in your inbox every Friday. Sign up here. What got out in the Equifax hack? A massive cybersecurity breach may have exposed the personal information of about 100,000 Canadians. Source
  • Boeing-Bombardier ruling slated for Monday

    Economic CTV News
    OTTAWA -- Politicians, defence officials and Canada's aerospace industry have Monday circled on their calendars as the date to watch in Boeing's ongoing trade dogfight with Montreal-based Bombardier. Here's what you need to know, and what is expected to follow: Source
  • Report calling for end of gas price regulation flawed, says economist

    Economic CBC News
    A Nova Scotia-based think-tank says gas price regulation has taken millions of dollars out of the wallets of drivers in Atlantic Canada, but an economist says the report is filled with factual errors and the methodology is flawed. Source
  • Site C dam project draws criticism at Vancouver public input session

    Economic CTV News
    VANCOUVER - Critics of an $8.8-billion dam project in British Columbia voiced concerns over the long-term costs of the project during the first in a series of public input session. The province's new NDP government directed the BC Utilities Commission to review the economic viability of the Site C hydroelectric dam project that was initiated by the former Liberal premier Christy Clark. Source
  • Pricey even with a contract: Wireless carriers release iPhone 8, iPhone X pricing

    Economic CBC News
    The first of the new iPhones are now available in Canada and wireless companies have released their pricing. With a two-year contract at Bell and Rogers, the iPhone 8 will cost $229 Cdn or $429 depending on the memory size. Source
  • Third round of NAFTA talks opens in Canada

    Economic CTV News
    OTTAWA -- A third round of NAFTA renegotiations has begun with chief negotiators from Canada, the U.S. and Mexico meeting in the Canadian capital. Canada's chief negotiator, Steve Verhuel, said Saturday that he doesn't expect this round to see any new U.S. Source
  • Chief Canadian NAFTA negotiator not expecting progress on auto content rules

    Economic CTV News
    OTTAWA - Despite tough talk from the U.S. about the job-killing impact of NAFTA on its automotive sector, Canada's chief negotiator isn't expecting to see a detailed proposal from the Americans during the latest round of talks to rewrite the continental trade pact. Source