On a generally happy day for the markets, which saw the Dow increase for the 20th consecutive Tuesday (second longest day of the week streak ever – 24 Wednesdays in a row in 1968 is the record), it was Canada’s banks and energy companies that helped push the S&P/TSX Composite higher.
Shares of Royal Bank of Canada (TSX:RY) and TD Bank (TSX:TD) were the biggest contributors to today’s +54 point move by the TSX, even though Scotia offered up earnings that were lower than expected.
Royal and TD shares were up 1.3% and 1.0% respectively, buoyed by the strong move higher in the U.S., which came on the back of a Consumer Confidence report that handily blew away expectations.
Also benefitting from the strong data point out of the U.S. was the Energy sector, with Suncor (TSX:SU) and Cenovus (TSX:CVE) climbing 1.6% and 2.8% each. The price of WTI Oil increased by close to 1% to finish the day north of US$95.
Gold stocks didn’t take kindly to today’s upward momentum. Goldcorp (TSX:G) and its decline of 1.2% acted as the biggest drag on today’s Canadian market. The spot price of gold was down close to 1%, and closed at US$1,381.08.
Once again financials and resource stocks dictated the Canadian market’s performance. Because of their heavy-weights in the TSX, these stocks can be lethal for investors that think they are protected with an index fund or ETF linked to the S&P/TSX Composite Index.
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Fool contributor Iain Butler is short $32 July 2013 put options on Goldcorp and owns shares in Cenovus. The Motley Fool doesn’t own shares in any of the companies mentioned.
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