Canada’s main stock market climbs, price of gold hits record high

Canada’s main stock market climbs, price of gold hits record high

TORONTO — The price of gold soared to a record high Monday, boosting Toronto’s main stock index to a triple-digit gain.

“That’s certainly the big story today,” said Michael Currie, vice-president and investment adviser at TD Wealth. “It hit another record today.”

The August gold contract advanced US$33.50 to US$1,931.00 an ounce after reaching a high of US$1,941.90 in intraday trading.

“We’ve got some things we knew are already in place,” said Currie, highlighting economic uncertainty, the ongoing COVID-19 pandemic, and continued low interest rates.

“Those have all been pushing gold up steadily for some time now.”

On Monday, increasing tensions between China and the U.S. gave the price of gold an extra boost, he said.

While the S&P/TSX composite index saw a broad-based rally, the materials sector, which contains gold mining companies, led the gains. The index advanced 164.27 points to 16,161.33 with shares in the materials sector gaining, on average, 3.47 per cent of their worth.

“Typically, when we do see a good day for gold, we’re going to see a good day for the materials sector,” said Currie.

Health care and technology also performed well with shares in the sectors gaining, on average, 3.32 per cent and 1.95 per cent of their worth.

In technology, Shopify Inc. shares gained $58.24, or nearly 4.7 per cent, to $1,305.25.

What are being called the big four companies — Amazon, Apple, Facebook and Google’s parent Alphabet — are all set to report their earnings soon, he said, and investors are continuing to bet that technology companies will perform well.

In New York, the Dow Jones industrial average rose 114.88 points to 26,584.77. The S&P 500 index gained 23.78 points to 3,239.41, while the Nasdaq composite moved up 173.09 points to 10,536.27.

The Canadian dollar traded for 74.75 cents US compared with 74.51 cents on Friday.

Elsewhere in commodities, the September crude contract gained 31 cents at US$41.60 per barrel and the September natural gas contract was down 8.1 cents at nearly US$1.79 per mmBTU. The September copper contract rose about a penny at nearly $2.90 a pound.

This report by The Canadian Press was first published July 27, 2020.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

The Canadian Press

Business

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Province reviews oil and gas assessment

Proposals favor large oil and gas – have devastating effect on rural municipalities

Alberta RCMP remind Albertans to lock vehicles during highest vehicle theft month

In total, there were over 12,200 reported thefts from a motor vehicle through 2019

94 new cases of COVID-19 in Alberta on Wednesday, two more deaths

1,146 active cases with 9,891 recovered cases

Clearview Schools’ statement on mandatory masks for returning students

About 466,000 litres of hand sanitizer will also be distributed between all Alberta school divisions

Canadian professional chuckwagon racer reflects on cancelled season

This year would have marked Troy Dorchester’s 28th year of racing.

Protestors for Indigenous Lives Matter gather in Wetaskiwin

Protestors gathered along 56 St Wetaskiwin, Alta. August 4, 2020 for Indigenous Lives Matter.

Alberta man’s body recovered from Okanagan Lake after five-day search

‘The depth of the water, as well as the topography of the lake, made the recovery of the deceased very challenging’ - RCMP

Feds look to finalize deal with airlines amid contact tracing concerns

Feds look to finalize deal with airlines amid contact tracing concerns

Dwindling B.C. bamboo supply leaves Calgary Zoo biologists worried about pandas

Zoo has been trying to send pandas back to China since May

Booking.com cuts workforce by thousands as travel atrophies

Booking.com cuts workforce by thousands as travel atrophies

Ford COO Jim Farley to lead company, CEO Hackett to retire

Ford COO Jim Farley to lead company, CEO Hackett to retire

Stingray CEO expects rapid growth as COVID’s impact fades, new services unfold

Stingray CEO expects rapid growth as COVID’s impact fades, new services unfold

TSX closes higher as energy, loonie strengthen and gold reaches another record

TSX closes higher as energy, loonie strengthen and gold reaches another record

Facebook launches its new TikTok clone, Instagram Reels

Facebook has a long tradition of cloning competitive services

Most Read