Sign in Subscribe
Petroleum industry

Canadian Stocks Swing Amid Oil and Base-Metal Price Increases and Gold Price Decline

Strategic Insights

— 1 min read

Canadian stocks experienced significant fluctuations in response to a report that China's exports increased at a faster rate than expected, driving up oil and base-metal prices, while gold stocks retreated due to a stronger euro.

The S&P/TSX Composite Index fell 22.86 points or 0.2 percent to 11,494.32 by 3:13 p.m. in Toronto. Meanwhile, Suncor Energy Inc., Canada's largest oil and gas company, saw a 2.2 percent increase after Reuters reported China's exports rose 50 percent from the previous year. Potash Corp. of Saskatchewan Inc., the world's largest fertilizer producer, gained 1.7 percent following an upgrade by UBS AG.

Key Takeaways:

  • China's exports increased 50 percent last month compared to the previous year, according to a Reuters report, which led to a surge in oil and base-metal prices.
  • Suncor Energy Inc. advanced 2.2 percent to C$32.65 as the company benefits from the rise in oil prices.
  • Potash Corp. of Saskatchewan Inc. gained 1.7 percent after UBS AG upgraded the company.
  • The S&P/TSX Composite Index fell 22.86 points or 0.2 percent to 11,494.32 by 3:13 p.m. in Toronto.
  • The Canadian stocks' performance is closely tied to the country's role as a major exporter of resources, particularly base metals and oil.
  • The U.S. Energy Department reported a 1.83 million-barrel drop in crude inventories, exceeding the median economist forecast.
  • Oil futures rose 3.3 percent to $74.39 a barrel in New York.

Statistics:

  • 122 S&P/TSX stocks gained, while 98 lost value, with one stock remaining unchanged.
  • Oil futures increased by 3.3 percent to $74.39 a barrel in New York.
  • China's exports rose 50 percent from the previous year.
  • The S&P/TSX Composite Index fell 4.3 percent this quarter.
  • 23 of 24 developed markets' primary equity indexes have underperformed Canada's as a 10 percent jump in gold prices partially offset losses in other industries.
  • China is the world's largest copper consumer and second-largest oil user after the United States.

Sources:

  • Reuters
  • UBS AG
  • The U.S. Energy Department
  • Bloomberg
  • Euclid Infotech Pvt. Ltd. (Original copyright provider)

Read more