Bay Street Looks Headed For Positive Start
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(RTTNews) - Higher Canadian and U.S. futures and firm European stocks following Donald Trump's victory in the U.S. Presidential Election point to a positive start for the Canadian market on Wednesday.
Energy and materials stocks may be a bit volatile due to weak commodity prices. Investors will be reacting to a slew of corporate earnings announcements, and also look ahead to the Federal Reserve's monetary policy announcement, due on Thursday.
CGI Inc. (GIB.A.TO) reported net earnings of $435.9 million for the fourth quarter, up 5.2% year-over-year, for a margin 1 of 11.9%.
Stella-Jones Inc. (SJ.TO) reported net earnings of $80 million, or $1.42 per share for the third quarter of the current financial year, compared with $110 million, or $1.91 per share a year ago.
ATS Corporation (ATS.TO) posted a net loss of $0.9 million in the second quarter ended September 29, 2024, as against net income of $50.7 million in the second quarter of the previous year.
The Ivey Business School will release the Ivey Purchasing Managers Index reading for the month of October at 10 AM ET. The Ivey Purchasing Managers Index in Canada soared to 53.1 in September 2024, up from an over 3-1/2-year low of 48.2 in August.
The Canadian market closed higher on Tuesday, riding on strong gains in utilities, consumer staples and healthcare sectors. In addition to digesting a slew of corporate earnings announcements, investors eyed the outcome of U.S. Presidential Election, and the Federal Reserve's monetary policy announcement, due later in the week.
The benchmark S&P/TSX Composite Index closed up 131.84 points or 0.54% at 24,387.90, near the day's high of 24,393.82.
Asian stocks ended mixed on Wednesday, while the dollar and bond yields edged up as U.S. Republican candidate Donald Trump won two crucial swing states, North Carolina and Georgia, and tightened his hold on key battlegrounds in the race for the White House.
While Japanese markets rallied on the back of a weaker yen, Hong Kong shares led losses on concerns that Trump's tariff plans could reignite U.S.-China trade tensions.
European stocks are up firmly with investors reacting positively to Donald Trump's victory in the U.S. Presidential Election.
Investors are also cheering the results of a survey that showed Eurozone business activity held steady last month, a small improvement from September's modest decline, and data showing an increase in Germany's factory orders in the month of September.
In commodities, West Texas Intermediate Crude oil futures are down $1.11 or 1.54% at $70.88 a barrel.
Gold futures are down $36.80 or 1.34% at $2,712.90 an ounce, as the dollar moved higher on Trump's victory. Silver futures are down $0.815 or 2.5% at $31.960 an ounce.
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