TSX Posts Fresh 52-week Intraday, Closing Highs

(RTTNews) - The Canadian benchmark S&P/TSX Composite Index climbed to fresh 52-week intraday and closing highs on Tuesday on fairly widespread buying amid rising optimism the Fed will start cutting interest rates from the first quarter of 2024.

The S&P/TSX Composite Index ended with a strong gain of 216.92 points or 1.05% at 20,839.63, slightly off the session's high of 20,848.83.

Materials and energy stocks were in demand thanks to firm bullion and oil prices. Shares from consumer, healthcare, financials and industrials sectors too finished with strong gains.

The Materials Capped Index climbed 2.44%. Canfor Corp (CFP.TO), Interfor Corp (IFP.TO) and West Fraser Timber (WFG.TO) surged 12.3%, 11.9% and 10.2%, respectively. Equinox Gold Corp (EQX.TO), Orla Mining (OLA.TO), Silvercrest Metals (SIL.TO) and Osisko Mining (OSK.TO) gained 6 to 7%. Transcontinental (TCL.A.TO), Ero Copper (ERO.TO), Iamgold (IMG.TO) and Novagold (NG.TO) were among the major gainers in the sector.

In the energy sector, Tamarack Valley Energy (TVE.TO), Athabasca Oil Corp (ATH.TO), Shawcor (MATR.TO), Vermilion Energy (VET.TO), International Petroleum Corp (IPCO.TO), Baytex Energy (BTE.TO), Parex Resources (PXT.TO) and Cenovus Energy (CVE.TO) gained 2.4 to 3.6%.

Among consumer discretionary stocks, Canada Goose Holdings (GOOS.TO) rallied 5.2%. Aritzia Inc (ATZ.TO), Pet Valu Holdings (PET.TO), Linamar Corp (LNR.TO), Gildan Activewear (GIL.TO), Restaurant Brands International (QSR.TO) and Magna International (MG.TO) gained 1.5 to 3.6%.

Consumer staples stock Maple Leaf Foods (MFI.TO) gained nearly 4%. Premium Brands Holdings Corp (PBH.TO), Primo Water Corp (PRMW.TO), Loblaw (L.TO) and Alimentation Couche-Tard (ATD.TO) gained 1.7 to 2.2%.

Healthcare stocks Tilray Inc (TLRY.TO) and Bauch Health Companies (BHC.TO) gained 3.4% and 2%, respectively.

Nuvei Corp (NVEI.TO), up 3.75%, was the top gainer in the Financials Index. Manulife Financials (MFC.TO) gained 2.55%, while Canadian Imperial Bank of Commerce (CM.TO), Toronto-Dominion Bank (TD.TO), Bank of Montreal (BMO.TO), Laurentian Bank (LB.TO) and National Bank of Canada (NA.TO) advanced 1.7 to 2%.

Bombardier Inc (BBD.B.TO), Richelieu Hardware (RCH.TO), Finning International (FTT.TO), Ballard Power (BLDP.TO), Tfi International (TFII.TO) and Air Canada (AC.TO) gained 2.8 to 3.6%.

Data from Statistics Canada showed inflation rate in Canada remained unchanged at 3.1% in November. The consumer price index increased 0.1% in November over the previous month.

Core inflation increased to 2.8% in November from 2.7% in the previous month.

Canada's producer price inflation decreased by 0.4% in November from a revised -0.9% in October. Year-on-year, producer prices dropped 2.3% after falling by a revised 2.6% in the previous month.

Raw materials prices fell 4.2% month-on-month in November, and dropped 4.6% from a year earlier.