The stock market in Canada started the second Week of April on a positive note, as investors expect that the recent weakness in the U.S. employment market could prompt the Federal Reserve to reconsider its approach to tightening monetary policy. With this, the S&P/TSX Composite Index rose 79 points, or 0.4%, on Monday to settle at 20,276.
Despite weakness in mining stocks due to declining metals prices, strong gains in other key market sectors, like healthcare, cyclicals, and technology, primarily led the Canadian market index up.
Top TSX Composite movers and active stocks
Tilray Brands (TSX: TLRY) shares climbed 6.3% to $3.73 per share due mainly to investors’ high expectations from its quarterly results, which it announced after the market closing bell yesterday. However, its February quarter top and bottom line failed to meet Street analysts’ estimates.
While Tilray’s revenue for the quarter fell US$145.6 million due mainly to a weakness in its cannabis and wellness segments. As a result of these challenges and an increase in operating expenses, the New York-based marijuana company registered an adjusted net loss of US$1.90 per share in the last quarter, compared to an adjusted net profit of US$0.09 per share in the same quarter of the previous year.
Despite is dismal results, Tilray surprised investors by announcing its intentions to acquire its smaller rival, HEXO, for about US$56 million. But its quarterly results and this acquisition announcement couldn’t impress investors as TLRY’s NASDAQ-listed shares dived more than 5% in the extended trading on Monday.
Brookfield Business Partners, Nutrien, and Cronos Group were also among the top gainers on the Toronto Stock Exchange yesterday, as they inched up by at least 4.8% each.
In contrast, Colliers International, Hudbay Minerals, and Teck Resources were the worst-performing TSX Composite components, as they slipped by at least 2.5% each.
Based on their daily trade volume, Canadian Natural Resources, TC Energy, TD Bank, and Crescent Point Energy were the most active stocks for the day.
TSX today
Most commodity prices, especially metals, were trading on a bullish note early Tuesday morning, which could help mining stocks on the TSX inch up higher at the open today. While no key domestic economic releases are due, energy investors may want to closely monitor the U.S. Energy Information Administration’s short-term outlook report this afternoon.
Overall, most TSX sectors may remain volatile on April 11, as traders adjust their open positions ahead of Wednesday’s Bank of Canada’s interest rate decision, U.S. inflation report, and the Fed’s meeting minutes.
Market movers on the TSX today
