North American stock markets post rebound on health care news, technology deals

North American stock markets post rebound on health care news, technology deals

North American stock markets post rebound on health care news, technology deals

TORONTO — Promising news in health care and some big technology deals helped fuel a broad-based rebound on stock markets in Canada and the U.S on Monday after last week’s sharp downturn.

On Wall Street, Nvidia shares jumped after it announced plans to buy fellow chipmaker Arm Holdings in a deal worth up to US$40 billion, and Oracle rose after the business software maker beat out Microsoft to become the “trusted technology provider” of TikTok, the popular video-sharing app based in China.

Meanwhile, Immunomedics nearly doubled after the cancer drug specialist agreed to be acquired by Gilead Sciences in a US$21-billion deal.

Pfizer Inc. rose 2.6 per cent after its CEO said Sunday he’s optimistic his firm’s coronavirus vaccine could be distributed to Americans before the end of the year if found to be safe and effective.

In Toronto, the S&P/TSX composite index closed up 137.68 points at 16,360.14, driven by strong growth in health care, materials and consumer discretionary as there were positive movements in nine of 11 sectors.

In New York, the Dow Jones industrial average was up 327.69 points at 27,993.33.

The S&P 500 index was up 42.57 points at 3,383.54, while the Nasdaq composite was up 203.11 points at 11,056.65.

“The downdraft last week caught a lot of people off guard, got a lot of attention,” said Craig Fehr, investment strategist with Edward Jones.

“This is an environment where people should expect markets to bounce around and today is a good example of that.”

The health care sector in Toronto was led higher by Sienna Senior Living Inc., up 5.56 per cent at $11.96, and Cronos Group Inc., ahead 3.34 per cent at $7.12, while Aurinia Pharmaceuticals Inc. and Bausch Health Companies each posted gains of more than three per cent.

The materials sector benefited from higher gold prices, with the December gold contract up US$15.80 at US$1,963.70 an ounce.

MAG Silver Corp. was up 10 per cent at $22.77, Oceanagold Corp. climbed 9.5 per cent to $2.87 and Torex Gold jumped 9.4 per cent to $21.89

“I think we’re seeing a little bit more optimism today that’s causing a reversal (from last week) with technology leading to the upside as it has for much of the last five months,” said Fehr, adding any news about medical advances to fight COVID-19 are welcome.

“The biggest tailwind over the longer term is going to be a sustained rebound and that is going to require a vaccine so I think any good news on the vaccine front is good news for the market longer term,” he said.

The Canadian dollar traded for 75.90 cents US compared with 75.84 cents US on Friday.

The October crude contract was down seven cents at US$37.26 per barrel,

The energy sector was the biggest loser in Toronto on the day as the October crude contract fell seven cents to US$37.26 per barrel.

Suncor Energy Inc. was the most traded stock on the market as it posted a 2.03 per cent drop to $17.82.

The October natural gas contract was up 4.1 cents at US$2.31 per mmBTU. The December copper contract was up nearly three cents at US$3.07 a pound.

By Dan Healing in Calgary.

This report by The Canadian Press was first published Sept. 14, 2020.

Companies in this story: (TSX:SIA, TSX:CRON, TSX:AUP, TSX:BHC, TSX:MEG, TSX:OGC, TSX:TXG, TSX:SU, TSX:GSPTSE, TSX:CADUSD=X)

The Canadian Press

Business

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Blank Unemployment Benefits form
Red Deer unemployment rate rises to 10.6 per cent

Red Deer’s unemployment rate rose slightly during the month of April. The… Continue reading

Starting Monday, golf courses across the province will be limited to their household or for those who live alone, their two close contacts. (Photo by BYRON HACKETT/Advocate Staff)
Golf in Alberta limited to household or close contacts starting Monday

Golf courses will have new COVID-19 protocols to follow next week. Starting… Continue reading

Lacombe-Ponoka MLA Ron Orr
MLA Ron Orr pleads with Central Albertans to follow COVID-19 rules

Lacombe-Ponoka MLA Ron Orr is changing his tune on COVID-19. Orr originally… Continue reading

People line up at a COVID-19 vaccination centre, Friday, April 23, 2021 in Deux-Montagnes, Que. Canada's two biggest provinces are continuing to ramp up COVID-19 vaccinations as they report lower hospitalization figures.THE CANADIAN PRESS/Ryan Remiorz
COVID-19 rapid tests going to more businesses, Alberta truckers get shots in Montana

Ottawa has introduced new ways for small and medium businesses to get… Continue reading

FILE - A firefighter wears a mask as he drives his truck. THE CANADIAN PRESS/Jonathan Hayward, File
Flames rip through Edmonton-area seniors complex, but no fatalities

ST. ALBERT, Alta. — Fire has destroyed part of a retirement complex… Continue reading

Alberta Health Services locked the Whistle Stop Cafe in Mirror on Wednesday morning after owner Christopher Scott refused to comply with health orders. (Photo by Paul Cowley/Advocate staff)
UPDATED: AHS shuts down Whistle Stop Cafe for defying health orders

Justice minister promises to get tough with those ignoring public health orders

Prime Minister Justin Trudeau walks to a news conference in Ottawa on Tuesday May 4, 2021. A broad coalition of MPs from all five parties wants the federal government to support waiving the global rules that guard vaccine trade secrets. THE CANADIAN PRESS/Adrian Wyld
As MPs urge support, Trudeau demurs on whether government backs COVID-19 waiver

WASHINGTON — Justin Trudeau stopped well short Friday of endorsing efforts to… Continue reading

Workers perform ground preparations outside City Hall in Yellowknife on Monday, July 4, 2011. A recent outbreak of COVID-19 cases in Yellowknife is mostly affecting children and youth, the territory’s chief public health officer says. THE CANADIAN PRESS/Jonathan Hayward
Most of Yellowknife’s COVID-19 cases are in children and youth: public health officer

YELLOWKNIFE — A health official in the Northwest Territories says a recent… Continue reading

Statistics Canada building and signs are pictured in Ottawa on Wednesday, July 3, 2019. THE CANADIAN PRESS/Sean Kilpatrick
A year after jobs data leak, StatCan resumes sharing advance numbers with officials

OTTAWA — Statistics Canada has resumed its practice of giving key federal… Continue reading

jobs - T - 3-6-2020
Job search: 10 ways to make your LinkedIn profile stand out in 2021

In 2021 successful job hunting requires having a LinkedIn profile that’s current… Continue reading

Max Parrot of Canada competes in the men’s snowboard big air final at the 2018 Winter Olympic Games in Pyeongchang, South Korea, Saturday, Feb. 24, 2018. Parrot has won the Comeback of the Year honour at the Laureus World Sports Awards. THE CANADIAN PRESS/Jonathan Hayward
Canadian snowboarder Max Parrot wins Laureus World Sports Award for comeback

Parrot beat out former Washington Football Team quarterback Alex Smith

This Nov. 22, 2015 file photo shows Justin Bieber at the American Music Awards in Los Angeles. Bieber’s world tour is facing another setback as the COVID-19 pandemic rages on. The Stratford, Ont.-raised pop singer is pushing dozens of tour dates including stops in three Canadian cities.	THE CANADIAN PRESS/AP-Photo by Jordan Strauss/Invision/AP, File
Justin Bieber postpones Canadian summer tour dates until 2022

52-date world tour will now kick off Feb. 18, 2022

Most Read