TSX Ends On Upbeat Note

(RTTNews) - The Canadian stock market ended on a buoyant note on Wednesday, with investors indulging in hectic buying across the board right through the session.

Bargain hunting after recent losses and higher crude oil prices lifted the market. Although worries about global economic growth persisted, stocks held on to a significant portion of their gains till the end.

The benchmark S&P/TSX Composite Index ended up 218.02 points, or 1.47%, at 15,095.02, after scaling a low of 14,938.27 and a high of 15,195.38 in the session.

On Tuesday, the index closed down by 194.01 points or 1.29 percent, at 14,877.00.

In economic news, data released by Statistics Canada showed Canadian wholesale sales declined for a second consecutive month, Sales were down 0.5% to $63.2 billion in September, the report said.

The Organization for Economic Cooperation and Development has forecast that global growth would slow from 3.7% this year to 3.5% in 2019 and 2020 due to trade tensions and higher interest rates.

The OECD, however, is of the view that the U.S. economy is likely to fare better than most other major economies. It also said that non-OECD countries might see a significant slowdown in growth as rate hikes by the Fed will result in capital outflows.

Energy, materials, industrials, healthcare, consumer discretionary and consumer staples rose sharply. Shares from financial, information technology and telecommunications sections too ended mostly higher. A few stocks from real estate sector gained as well.

The Capped Energy Index climbed up nearly 2.5%. Suncor Energy (SU.TO), Encana Corporation (ECA.TO) and Vermilion Energy Inc. (VET.TO) gained 3.5% to 5%. PrairieSky Royalty Ltd. (PSK.TO) ended higher by 3.1%. Canadian Natural Resources (CNQ.TO), Cenovus Energy (CVE.TO), Imperial Oil (IMO.TO) and Husky Energy (HSE.TO) gained 1% to 3%.

The Capped Materials Index ended 2.31% up. Barrick Gold Corporation (ABX.TO), Franco-Nevada Corporation (FNV.TO), Teck Resources (TECK.B.TO), Agnico Eagles Mines (AEM.TO), Goldcorp Inc. (G.TO) and Wheaton Precious Metals Corp. (WPM.TO) gained 2% - 4%, while First Quantum Minerals (FM.TO) jumped 11.4%.

The Capped Industrials Index gained 2.18%. Canadian National Railway Company (CNR.TO), Canadian Pacific Railway (CP.TO), Air Canada (AC.TO) and Finning International Inc. (FTT.TO) gained 2% to 4%. Bombardier Inc. (BBD.B.TO) jumped 6.1%.

SNC-Lavalin Group Inc. (SNC.TO) gained more than 3.5% after the company announced that it has signed signed an agreement with Perdaman Chemicals and Fertilisers Pty Ltd for the continued development of the two million ton per annum Urea fertiliser plant located in Western Australia.

Healthcare stocks Aurora Cannabis Inc. (ACB.TO) and Canopy Growth Corporation (WEED.TO) gained 2.75% and 5%, respectively.

Among bank stocks, Royal Bank of Canada (RY.TO) gained nearly 2.5%. Toronto-Dominion Bank (TD.TO), Bank of Nova Scotia (BNS.TO), Bank of Montreal (BMO.TO), Canadian Imperial Bank of Commerce (CM.TO) and National Bank of Canada (NA.TO) gained 0.7% to 1.2%.

Among consumer discretionary stocks, The Stars Group Inc. (TSGI.TO) climbed up 7.5%. Magna International (MG.TO), Restaurant Brands International (QSR.TO), Canada Goose Holdings Inc. (GOOS.TO), Linamar Corporation (LNR.TO), Great Canadian Gaming Corporation and BRP Inc. (DOO.TO) gained 1 to 5.2%.

Consumer staples stocks Alimentation Couche-Tard Inc. (ATD.B.TO), Loblaw Companies (L.TO), Metro Inc. (MRU.TO), Saputo Inc. (SAP.TO), Empire Company (EMP.A.TO) and Premium Brands (PBH.TO) gained 1% to 4%.

Asian stocks ended mixed on Wednesday, tracking overnight sharp plunge on Wall Street on concerns about corporate earnings and slowing global growth. Chinese and Hong Kong markets posted modest gains.

The markets in Europe ended on a positive note on reports the Italian government is likely to make compromise with the European Union on certain aspects of its budget. According to a report in newspaper La Stampa, the Italian Deputy Premier Matteo Salvini might be open to budget revisions. The report said that Salvini was willing to reduce the planned spending on a citizen's income and the unwinding of a previous pension reform.

Meanwhile, the European Commission has warned Italy of financial sanctions over its budget.

On Wall Street, stocks gave back ground towards the closing minutes, after staying positive for much of the trading session. The major averages pulled back well off their highs of the session, with the Dow ending the day nearly flat. After ending the previous session at its lowest closing level in over seven months, the tech-heavy Nasdaq advanced by nearly 1%. The S&P 500 ended modestly higher.

Buying interest was relatively subdued, as traders digested some disappointing economic data, including a report from the Commerce Department showing a much steeper than expected drop in durable goods orders in October.

A report from the Labor Department showed first-time claims for U.S. unemployment benefits unexpectedly edged higher in the week ended November 17th. Data from the National Association of Realtors showed a bigger than expected rebound in existing home sales in the month of October.

In commodities, crude oil futures for January ended up $1.20, or about 2.3%, at $54.63 a barrel.

Gold futures for December ended up $6.80, or 0.6%, at $1,228.00 an ounce, the highest settlement in about two weeks.

Silver futures for December settled at $14.502 an ounce, up $0.233 over previous close, while Copper futures for December ended up $ 0.280, at $2.7945 per pound.