S&P/TSX composite up almost 250 points Tuesday, U.S. markets also rise

Gains successful business and exertion stocks led Canada’s main banal scale up much than 1 per cent connected Tuesday, outweighing weakness successful energy, while U.S. stock markets besides rose, led by a rally connected nan Dow.

After months of record-breaking gains led chiefly by ample tech stocks successful nan U.S., it was nan blue-chip dense Dow’s move to lead a broad-based surge, said Michael Currie, elder finance advisor astatine TD Wealth. The scale gained 1.9 per cent.

“Across nan board, everything’s looking very strong. It’s very difficult to find a anemic spot,” he said.

The S&P/TSX composite scale closed up 243.71 points astatine 22,995.39.

In New York, nan Dow Jones business mean was up 742.76 points astatine 40,954.48. The S&P 500 scale was up 35.98 points astatine 5,667.20, while nan Nasdaq composite was up 36.77 points astatine 18,509.34.

Markets successful nan U.S. were boosted by respective net reports by awesome companies that were amended than expected, said Currie, mixed pinch optimism that liking complaint cuts are connected nan way.

“UnitedHealth and Bank of America are surely nan 2 biggest individual stories driving nan market,” he said.

UnitedHealth Group amazed to nan upside pinch its study arsenic net play gets underway, and its shares roseate 6.5 per cent.

Bank of America roseate 5.4 per cent arsenic it excessively reported stronger profits than forecast.

A study Tuesday besides showed income astatine U.S. retailers held firmer than expected past month.

Meanwhile successful Canada, nan ostentation study for June saw value maturation easiness much than expected to 2.7 per cent, helped by little state prices.

Markets look each but locked successful connected expectations that nan Bank of Canada will trim rates successful July, he said.

“The study coming was really 1 that pushed everybody complete nan top,” he said.

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The TSX has been lagging U.S. markets this twelvemonth because it lacks vulnerability to nan large tech companies starring nan way, but successful July it’s been “catching up for illustration a rocket,” said Currie.

In nan U.S., investors look to person reached statement that nan first trim from nan U.S. Federal Reserve will travel successful September, Currie said.

“Especially successful nan States, location was a cognition that location wouldn’t beryllium a complaint trim earlier nan election, because it mightiness look biased. But now it conscionable seems nan grounds is truthful beardown that there’s not really a logic not to do it,” he said.

The Canadian dollar traded for 73.07 cents US compared pinch 73.19 cents US connected Monday.

The August crude lipid statement was down $1.15 astatine US$80.76 per tube and nan August earthy state statement was up 3 cents astatine US$2.19 per mmBTU.

The August golden statement was up US$38.90 astatine US$2,467.80 an ounce and nan September copper statement was down 8 cents astatine US$4.53 a pound.

— With files from The Associated Press