Latest news with #MichaelSprung
Reuters
29-07-2025
- Business
- Reuters
TSX hits record high as Celestica jumps, commodity prices rise
July 29 (Reuters) - Canada's main stock index rose to a new record high on Tuesday, led by gains for resource and technology shares as investor exuberance continued to underpin the market ahead of a Bank of Canada policy decision and other key events this week. The S&P/TSX composite index (.GSPTSE), opens new tab ended up 134.46 points, or 0.5%, at 27,539.88, eclipsing Friday's record closing high. "Optimism still seems to be pervading the market but we're entering the most interesting part of the week," said Michael Sprung, president at Sprung Investment Management. The Federal Reserve and the Bank of Canada are due to make policy decisions on Wednesday, while a deadline for Canada to reach a trade deal with the U.S., or face a 35% tariff on its goods, is set for Friday. The BoC is likely to keep its benchmark rate unchanged at 2.75% for the third straight meeting, economists and market analysts predict, as firm core inflation and robust job growth offset trade uncertainty. U.S. ambassador to Canada Pete Hoekstra said he hoped a trade deal between Canada and the U.S. would be reached "very soon." "I think the market has risen on euphoria and I don't know what it will take to break that euphoria, but I think at some point people are going to have to look hard at valuations and decide what intrinsic value really is and that could cause some setback going forward," Sprung said. Technology (.SPTTTK), opens new tab rose 2.2%, with shares of Celestica ( opens new tab climbing 16.9% after the electronics firm reported stronger-than-expected second-quarter results. Real estate (.GSPTTRE), opens new tab was up 1.7% as bond yields fell. The Canadian 10-year yield eased 4.5 basis points to 3.484%. The materials group (.GSPTTMT), opens new tab, which includes metal mining shares, added 1.2% as the price of gold rose. Energy (.SPTTEN), opens new tab also ended higher, rising 1%, as the price of oil settled up 3.8% at $69.21 a barrel. [O/R] Air Canada ( opens new tab was a drag, with its shares tumbling 12.3% after the company reported lower second-quarter profit.
Business Recorder
14-05-2025
- Business
- Business Recorder
TSX slips after six-day win streak as investors await trade developments
Canada's main stock index fell on Wednesday, after six straight sessions of gains, as investors took a breather while awaiting signals from ongoing trade developments. The Toronto Stock Exchange's S&P/TSX composite index was down 0.13% at 25,583.02 points after rising 2.6% in the past six sessions and hitting a three-month high last week. Markets have been rising on trade optimism after a limited U.S.-UK agreement and the United States and China pausing their fierce tariff dispute assuaged fears about a global economic slowdown. A 90-day tariff pause announced by the U.S. on April 9 for countries other than China, along with solid earnings reports and a cooler-than-expected U.S. inflation reading, helped the index regain ground from early April lows. 'I think all the markets are taking a little bit of a breather now after the recent rallies', said Michael Sprung, president at Sprung Investment Management. 'The inflation reading and the U.S.-China situation buoyed the market in the immediate past but … expectations of what is likely to happen are becoming more and more uncertain. And so I think the markets going to be looking for some direction'. TSX gains on US-China tariff agreement Federal Reserve Vice Chair Philip Jefferson noted that recent inflation data indicate progress toward the Fed's 2% target, yet the outlook remains uncertain as potential new import taxes could elevate prices. On TSX, mining stock fell 1.9%, tracking lower gold prices, as easing U.S.-China tensions dimmed bullion's safe-haven appeal. Energy subindex slipped 0.6% after oil prices fell as traders eyed a potential jump in U.S. crude inventories, while OPEC lowered its oil supply growth forecast for producers outside OPEC+.
Business Recorder
24-04-2025
- Business
- Business Recorder
TSX extends rally as yields decline and commodity prices rise
Canadian stocks climbed on Thursday as falling bond yields and rising commodity prices boosted investor sentiment, while markets also weighed evolving U.S. tariff policies. The Toronto Stock Exchange's S&P/TSX Composite Index climbed 0.5% to 24,604.05 points, and was on course for the third successive daily gain. The heavily weighted energy sector added 0.6% as oil prices recovered some losses on Thursday. Materials also climbed 0.6% after gold prices rebounded, as investors bought bullion following a sharp decline in the previous session. 'Any sign of commodities stabilizing, I think is a good sign in today's market,' said Michael Sprung, president at Sprung Investment Management. Canadian government bond yields fell across the curve with 10-year bond yields falling 5.8 basis points to 3.191%. Falling yields, which reduce the risk-free rate benchmark, decrease borrowing costs and enhance the value of companies' future cash flows. TSX falls as Trump's Fed criticism shakes markets Among index sectors, information technology rose over 1%; electronics manufacturer Celestica led sector gains at 5%. Healthcare stocks advanced 1.3%, buoyed by cannabis producer Tilray Brands, which surged 4% On the flip side, consumer staples lost the most, falling 0.4%. China on Thursday called for all 'unilateral' U.S. tariffs to be canceled, as signs emerged that the Trump administration may de-escalate its trade war with Beijing. On Wednesday, TSX had climbed to a three-week high as some optimism took hold of a letup in the global trade war. However, later that day, Trump said a 25% tariff on cars imported from Canada to the United States could go up. Investors' attention was also divided among a series of earnings reports from U.S. companies, which presented a mixed picture. Among domestic earnings, miner Teck Resources beat first-quarter expectations, helped by higher commodity prices and copper sales volumes. Its shares rose 3.8%.
