FX.co ★ TSX Posts New Closing High On Widespread Buying

The Canadian market concluded its trading day robustly on Friday, as stocks from a broad array of sectors ascended due to ongoing purchasing activity. Investor sentiment remained optimistic throughout the day, in response to the jobs data published in the U.S. and Canada.

Canada's primary market index, the S&P/TSX Composite Index, achieved a record-high closing of 22,264.38, presenting a gain of 212.59 points or 0.96%. During the day, it registered a new peak of 22,316.92, marking a 0.43% overall increment for the week.

Stocks from sectors such as materials, consumer staples, technology, energy, healthcare, consumer discretionary, and real estate witnessed the most substantial gains.

Companies like Newmont Corporation, Methanex Corporation, Kinaxis Inc, Dollarama Inc, Franco-Nevada Corporation, Agnico Eagle Mines, Constellation Software, and EQB Inc experienced gains between 2.5-4%. George Weston, Fairfax Financial Holdings, goeasy, Royal Bank of Canada, Loblaw Companies, and FirstService Corporation saw their stocks rise by 1-2%.

Strong trading volumes positively affected Canopy Growth Corporation, B2Gold Corp, Lundin Mining Corporation, Barrick Gold Corporation, Kinross Gold Corporation, Royal Bank of Canada, and Canadian Natural Resources.

In March, employment numbers in Canada slightly decreased by 2,200 jobs after observing a growth of 40,700 in February — defying economists' prediction of an addition of 25,000 jobs. Meanwhile, the country's unemployment rate shot up to 6.1% in March from 5.8% noted in its preceding month, marking the highest rate since October 2021. The anticipated estimation for the unemployment rate stood at 5.9%.

In terms of wages, average hourly earnings in Canada witnessed a 5% rise in March, an increment from the 4.9% observed in February.

As per the March report from the Ivey Business School, the Ivey Purchasing Managers Index in Canada increased to 57.5 from 53.9 in February, indicating the eighth consecutive monthly rise and marking the highest figure within a year.

In U.S. job data, the Labor Department confirmed a 303,000 job increase in non-farm payroll employment in March, following a 270,000 rise in February — surpassing economists' prediction of a 200,000 increment compared to the 275,000 gain recorded in February. However, the unemployment rate marginally decreased to 3.8% in March from 3.9% in February, while the annual rate of wage growth slowed down to 4.1% in March from the 4.3% in February — in alignment with predictions.