Canada's main stock index, the S&P/TSX composite, rose nearly 100 points on Thursday, propelled by a surge in oil prices that topped US$100 a barrel for the first time in weeks. The energy sector led the gains as crude oil prices climbed amid supply concerns and geopolitical tensions.
Market Performance
The Toronto Stock Exchange's benchmark index added 98 points, or 0.6%, to close at 22,456. Energy stocks were the standout performers, with shares of major producers like Suncor Energy and Canadian Natural Resources advancing more than 2% each. The rally in oil prices came after reports of declining U.S. crude inventories and renewed fears of supply disruptions from the Middle East.
Broader Market Trends
Gains were not limited to the energy sector. Financials also contributed to the upward move, with Royal Bank of Canada and Toronto-Dominion Bank posting modest gains. However, the technology sector lagged, weighed down by a selloff in U.S. tech shares. The Canadian dollar strengthened against the U.S. dollar, trading at 78.50 cents US, up from 78.20 cents on Wednesday.
Investors are now focusing on upcoming economic data, including Canadian retail sales and U.S. inflation figures, which could provide further direction for markets. The TSX has gained about 8% so far this year, supported by strong commodity prices and corporate earnings.
