2 July 2024 – On Tuesday, the S&P/TSX Composite Index inched upwards by 0.4%, closing at 21,954 points as investors, rejuvenated from their holiday, were greeted by surging oil prices and signs of a shrinking manufacturing sector. The crude oil market, currently trading near an eleven-week peak due to rising… tensions in the Middle East and an early start to the Atlantic hurricane season, spurred gains for oil-powerhouses such as Cenovus, Suncor, and Canadian Natural, which saw increases of 2.7%, 1.6%, and 1.1% respectively. Consequently, the energy sector registered an average gain of 1.1%.

On the economic front, the domestic manufacturing PMI stood at 49.3 in June, marking the fourteenth straight month of contraction, an indication of the continued strain from a stringent monetary climate. Meanwhile, Federal Reserve Chair Powell made note of successful efforts in curbing inflation, stating that inflation risks now appear more balanced. However, he did express that unforeseen frailty in the labor market could influence future interest rate decisions.

The TSX, Canada’s primary stock market index, has seen a growth of 995 points or 4.75% since the onset of 2024, as per a contract for difference (CFD) that monitors this Canadian benchmark index. The TSX hit a record high of 22554.98 in May 2024. Read More