TSX Today: What to Watch for in Stocks on Wednesday, December 21

Strengthening oil prices could take the TSX energy stocks higher at the open today.

| More on:
tsx today

The Canadian stock market ended a four-session losing streak on Tuesday as an intraday recovery in commodity prices gave way to renewed buying in mining and energy shares. The TSX Composite Index inched up by 106 points, or 0.6%, for the day to settle at 19,307, helping the benchmark bounce back from its lowest level in nearly eight weeks. Besides a rally in commodity-linked stocks, other stock market sectors, like financials and technology, also witnessed minor gains after the release of better-than-expected Canadian retail sales numbers. In contrast, shares of healthcare and consumer cyclical companies fell sharply.

Top TSX movers and active stocks

Shares of IAMGOLD (TSX:IMG) popped by 24.4% yesterday to $3.11 per share, making it the top-performing TSX Composite component for the day. This sharp rally in IMG stock came after the company announced an agreement to sell its Boto Gold Project and surrounding exploration assets in West Africa to a Morocco-headquartered mining company Managem. IAMGOLD expects this deal worth US$282 million to close by the second quarter or early third quarter of 2023. Despite this sharp rally, IAMGOLD stock still trades with about 21% year-to-date losses.

OceanaGold, Endeavour Silver, and Centerra Gold were also among the top performers on the Toronto Stock Exchange in the last session, as they surged by more than 8% each.

In contrast, shares of Ivanhoe Mines (TSX:IVN) plunged by 12.5% to $9.97 per share after a Bloomberg report claimed that the Vancouver-headquartered mining firm has “confirmed a business relationship with a presidential aide who was arrested in a corruption case in Democratic Republic of Congo.” In a press release, Ivanhoe Mines called this news headline misleading and denied involvement in a copper corruption case in the Congo. However, its investors still reacted negatively, with IVN stock plunging well more than 10% during the day. Year to date, Ivanhoe stock is now down 3.4%.

Ballard Power Systems, First Quantum Minerals, Tilray Brands, and Mullen Group were also among the worst-performing TSX stocks on December 20, as they dived by at least 4.5% each.

Based on their daily trade volume, Suncor Energy, TC Energy, Barrick Gold, and Canadian Imperial Bank of Commerce were the most active stocks on the exchange.

TSX today

After reaching their highest levels in months, gold and silver prices were trading on a mixed note early Wednesday morning. At the same time, crude oil prices were showcasing strength, pointing to a slightly higher open for the main TSX index today with expected gains in energy stocks. Statistics Canada is expected to release the consumer price index for November this morning, which should give investors an idea about the latest inflationary trends in the country and adjust their near-term rate hike expectations.

Besides domestic inflation numbers, Canadian investors may also want to keep a close eye on the latest monthly consumer confidence, existing home sales, and weekly crude oil stockpiles data from the U.S. market on December 21.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

The Motley Fool has positions in and recommends Mullen Group. The Motley Fool recommends Centerra Gold. The Motley Fool has a disclosure policy. Fool contributor Jitendra Parashar has no position in any of the stocks mentioned.

More on Energy Stocks

golden sunset in crude oil refinery with pipeline system
Energy Stocks

Trump Tariffs: Are Canadian Energy Stocks Still a Safe Haven for Investors?

Trump tariffs have put Canadian energy stocks in the limelight. These stocks have outperformed post-pandemic. Can they continue doing so?

Read more »

Pumpjack in Alberta Canada
Energy Stocks

Canadian Natural Resources: Buy, Sell, or Hold in 2025?

Here's my take when it comes to CNQ this year.

Read more »

happy woman throws cash
Energy Stocks

Best Stock to Buy Right Now: Brookfield Renewable vs Canadian Solar?

Clean energy stocks such as Brookfield Renewable offer significant upside potential for long-term shareholders in 2025.

Read more »

Trans Alaska Pipeline with Autumn Colors
Energy Stocks

Invest $16,650 in this TSX Stocks for $1,000 in Passive Income

This TSX stock offers a 6% yield and will enable you to earn $1,000 in stress-free passive income with a…

Read more »

Make a choice, path to success, sign
Energy Stocks

2 Sectors That Could Take a Big Hit in a U.S.-Canada Trade War

The potential of a U.S.-Canada trade war has sent shockwaves in the TSX. A few sectors could face the biggest…

Read more »

Canadian energy stocks are rising with oil prices
Energy Stocks

Dividend Investors: Top Canadian Energy Stocks for February

Are Canadian energy stocks worth considering amid the threat of import tariffs from the United States? Let's find the answer.

Read more »

oil pump jack under night sky
Energy Stocks

Better Energy Stock: Brookfield Renewable or Northland Power?

Renewable stocks have a strong outlook, but which of these two are the best to buy?

Read more »

Super sized rock trucks take a load of platinum rich rock into the crusher.
Energy Stocks

Where Will Suncor Stock Be in 3 Years?

Suncor continues to drive operational efficiencies and value. Expect this momentum to drive Suncor stock higher.

Read more »