TSX Today: What to Watch for in Stocks on Thursday, May 18

The volatility in TSX stocks may remain intact, as investors closely watch the progress in the U.S. debt limit talks.

Jitendra Parashar

Author Bio Jitendra Parashar is a financial journalist who has been writing for The Motley Fool Canada since June 2020. With more than 13 years of experience in financial journalism, equity research, and market analysis, he helps investors understand market developments and identify long-term investment opportunities. Before joining The Motley Fool Canada, Jitendra spent several years at Market Realist covering U.S. equities, major economic developments, and developments in the automotive and technology industries. He also worked in commodity and currency research at brokerage firms, gaining insight into how economic trends, central bank decisions, and geopolitical events influence financial markets. Jitendra writes for beginner investors, dividend seekers, and Canadians looking to build wealth over the long term. He also contributes to the daily TSX Today series, explaining key Canadian market developments and highlighting news investors should watch. Based in India, Jitendra follows Canadian and U.S. markets closely. Outside of work, he enjoys travelling in the Himalayas, street and nature photography, and exploring programming and artificial intelligence. Education MBA in Finance and International Business Bachelor's degree in Journalism Areas of Expertise Canadian and U.S. financial markets, long-term equity investing, dividend investing, macroeconomic and geopolitical trends, automotive stocks, emerging technologies, and artificial intelligence. Social Media Profiles LinkedIn Muck Rack Favorite Investment Quote “Simplicity is the master key to financial success.” — John C. Bogle

Published May 18, 2023 8:32 am EDT

Canadian stocks took a breather yesterday after posting their biggest single-day losses in over two months in the previous session. The S&P/TSX Composite Index rose 54 points on Wednesday to settle at 20,296, as investors remained focused on the possibility of the U.S. debt limit deal amid ongoing negotiations.

Despite weakness in mining and industrial shares, other main market sectors like healthcare, real estate, and financials posted healthy gains, helping the TSX index end the session in the green territory.

Top TSX Composite movers and active stocks

Shares of Bausch Health Companies (TSX: BHC) ended the last session with more than 24% gains at $10.05 per share after rallying by as much as 41% during the intraday trading.

This spectacular rally in BHC stock came after the Laval-headquartered pharmaceutical firm revealed that the U.S. District Court of Delaware has denied Norwich Pharmaceuticals’ request to modify an earlier ruling that “prevents the U.S. Food and Drug Administration (FDA) from approving Norwich’s abbreviated new drug application (ANDA) for XIFAXAN (rifaximin) 550 mg before Oct. 2, 2029.” After this strong rally, Bausch Health stock is now up 18.2% on a year-to-date basis.

Brookfield Business Partners, Lightspeed Commerce, and BlackBerry were also among the top performers on the Toronto Stock Exchange yesterday, as they rose at least 5.9% each.

In contrast, gold stocks like IAMGOLD and Lundin Gold slipped by more than 4% due mainly to continued declines in the price of the yellow metal.

Based on their daily trade volume, Suncor Energy, Enbridge, Manulife Financial, and Air Canada were the most active stocks on the Canadian exchange.

TSX today

Metals prices were continuing to trade on a bearish note early Thursday morning, pointing to a lower open for the mining stocks on the TSX today. Besides the ongoing debt ceiling talks, Canadian investors may also want to closely monitor the manufacturing, home sales, and jobless claims data from the U.S. market this morning.

On the corporate events side, TSX-listed companies like Canada Goose, Lightspeed Commerce, and ATS Corp are expected to announce their latest quarterly financial results on May 18, which could keep their stocks volatile.