Bay Street in Canada's financial district is shown in Toronto on Wednesday, March 18, 2020. THE CANADIAN PRESS/Nathan Denette

North American stock markets surge higher, Dow tops 30,000

North American stock markets surge higher, Dow tops 30,000

TORONTO — Canada’s main stock index surged higher Tuesday alongside other North American markets, as the Dow Jones industrial average passed the 30,000-mark for the first time.

Investors reacted positively on Tuesday to an injection of certainty into the future of the economy, said Craig Jerusalim, senior portfolio manager at CIBC Asset Management.

Jerusalim pointed to this week’s news about AstraZeneca’s potential COVID-19 vaccine, the start of the presidential transition in the U.S., and the potential for a familiar face in the U.S. Treasury Department if former Federal Reserve chair Janet Yellen is confirmed.

While markets may be hitting key “psychological” levels — with the Dow Jones industrial average up 454.97 points at 30,046.24, and the December gold contract down US$33.20 at US$1,804.60 an ounce — Jerusalim said he is still being cautious with his portfolio.

“The best analogy, I would say, is that we see the light at the end of the tunnel, but remember we are still in the tunnel,” he said, noting the recent growth of some speculative investments, such as Bitcoin.

“There are still a lot of tough months ahead of us. On the virus front, lockdowns are expanding. Investors should be aware of that and not get too ahead of themselves.”

The S&P/TSX composite index was up 179.72 points at 17,274.25, still shy of its February record high of 17,970.51.The S&P 500 index was up 57.82 points at 3,635.41, while the Nasdaq composite was up 156.15 points at 12,036.78.

Jerusalim said that the energy sector is helping the TSX on the path to its own record. Energy stocks gained nearly four per cent on Tuesday, with shares of Suncor Energy up 4.88 per cent and Enbridge Inc. up 3.98 per cent.

Suncor has announced a plan to become the operator of Syncrude’s oilsands mine and upgrader works, while Enbridge Inc. received approvals for U.S. federal permits for its Line 3 project. The January crude contract was up US$1.85 at US$44.91 per barrel and the January natural gas contract was up 7.7 cents at US$2.90 per mmBTU.

“So, two positive developments on the energy front that investors are cheering,” said Jerusalim.

Jerusalim also noted that demand in China and emerging markets has boosted copper, as the December copper contract was up more than four cents at nearly US$3.30 a pound.

The Canadian dollar traded for 76.73 cents US on Tuesday, compared with 76.44 cents US on Monday.

Jerusalim said he will be watching upcoming quarterly earnings reports from Canadian banks, as well companies such as Shopify and CargoJet as Black Friday kicks off the holiday shopping season.

“I don’t think we are going to revert back to the prior balance of bricks-and-mortar and e-commerce,” said Jerusalim.

“Then we have the positive backdrop of Black Friday, Cyber Monday, and the Christmas holiday shopping period. As lockdowns increase it could shape up to be the strongest e-commerce period ever.”

This report by The Canadian Press was first published Nov. 24, 2020.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD=X)

Anita Balakrishnan, The Canadian Press


Just Posted

A gofundme account has been set up for Lilac the husky, of Blackfalds. (Photo from gofundme)
Dog ends up in coma after a walk in Blackfalds

Dog finds a baggie that likely contained drugs

Red Deer man reported missing

Red Deer RCMP seek public’s assistance

An attendee of the Maskwacis memorial held on May 31, 2021, for the 215 school children found in Kamloops, B.C. the week before, holds a teddy bear. <ins>The grandstand was filled with 215 bears to represent the lost children. They were offered to residential school survivors at the end of the memorial. </ins>(Photo illustration by Emily Jaycox/Ponoka News)
Ermineskin residential school survivor: ‘It just brings me back to the cries at night’

Discovery in Kamloops of remains of 215 children a painful time for survivors

Sweden’s Prime Minister Stefan Lofven before a confidence vote in the Swedish Parliament in Stockholm, Sweden, Monday June 21, 2021. Sweden’s Prime Minister Stefan Lofven faces a no-confidence vote in the Riksdag parliament, after the Left Party said this week that it had lost confidence in Lofven and his center-left minority government. (Anders Wiklund / TT via AP)
Swedish PM loses confidence vote, sparking uncertainty

Prime minister has one week to call new election or ask parliament speaker to find a new government

A large number of supporters were out Saturday at a rally intended to bring awareness about including Hinduism in the grade 2 portion of the K-6 draft curriculum. As it stands now, Hinduism won’t be taught until grade 6 in the proposed draft curriculum. (Photo by BYRON HACKETT/Advocate Staff)
Video: Rally to support adding Hinduism to draft curriculum draws crowd in Red Deer

The Hindu community in Red Deer came out in droves on Saturday… Continue reading

The border crossing into the United States is seen during the COVID-19 pandemic in Lacolle, Que. on February 12, 2021. THE CANADIAN PRESS/Paul Chiasson
Canada to unveil travel rules for fully vaccinated citizens, permanent residents

OTTAWA — Canada is set to detail what quarantine rules citizens and… Continue reading

Hockey legend Wayne Gretzky poses for a photo in Toronto on Monday, October 17, 2016. Two of Canada’s most prominent athletes are part of the ownership group of a new Las Vegas National Lacrosse League franchise. THE CANADIAN PRESS/Michelle Siu
Wayne Gretzky, Steve Nash join forces with Las Vegas lacrosse team

League’s 15th team will start play in the fall of 2022

Orlando City and Montreal Impact players take a knee before their MLS match, Sunday, Nov. 1, 2020, at Red Bull Arena in Harrison, NJ.  THE CANADIAN PRESS/AP-Eduardo Munoz Alvarez
CF Montreal finds two new home venues as Gold Cup comes to Fort Lauderdale

Exploria Stadium has been Toronto FC’s home field this year

Police and firefighters respond after a truck drove into a crowd of people injuring them during The Stonewall Pride Parade and Street Festival in Wilton Manors, Fla., on Saturday, June 19, 2021. WPLG-TV reports that the driver of the truck was taken into custody. (Chris Day/South Florida Sun-Sentinel via AP)
Officials say deadly Pride parade crash was not intentional

Driver and the victims were a part of the Fort Lauderdale Gay Men’s Chorus family

FILE - In this April 18, 2017, file photo, a conference worker passes a demo booth at Facebook’s annual F8 developer conference, in San Jose, Calif. Facebook is launching podcasts and live audio streams in the U.S. Monday, June 21, 2021, to keep users engaged on its platform and to compete with emerging rivals.(AP Photo/Noah Berger, File)
Facebook launches podcasts, live audio service

Handful of podcasts will first be available to people in the U.S.

Intricate cloth masks with Indigenous design made by Teresa Snow. Facebook/ Masks4Maskwacis
‘Masks 4 Maskwacis’ wins Northern Lights Volunteer Award

The group received recognition for their efforts to support their community during COVID-19.

Barbara Violo, pharmacist and owner of The Junction Chemist Pharmacy, draws up a dose behind vials of both Pfizer-BioNTech and Oxford-AstraZeneca COVID-19 vaccines on the counter, in Toronto, Friday, June 18, 2021. An independent vaccine tracker website founded by a University of Saskatchewan student says just over 20 per cent of eligible Canadians — those 12 years old and above — are now fully vaccinated. THE CANADIAN PRESS/Nathan Denette
At least 20% of eligible Canadians fully vaccinated, 75% with one dose: data

Earlier projections for reopening at this milestone didn’t include Delta variant

This undated file photo provided by Ernie Carswell & Partners shows the home featured in the opening and closing scenes of The Brady Bunch in Los Angeles. Do you know the occupation of Mike Brady, the father in this show about a blended family? (Anthony Barcelo/Ernie Carswell & Partners via AP, File)
QUIZ: A celebration of dad on Father’s Day

How much do you know about famous fathers?

Most Read