Equities in Canada’s largest centre rose on Tuesday, as investors took a breather after the previous session’s decline that was triggered by U.S. President Donald Trump’s recent attacks on Federal Reserve Chair Jerome Powell.
The TSX Composite Index vaulted 317.08 points, or 1.3%, to 24,325.94. However, investors remained concerned about a market turmoil if Trump followed through on his threats to fire Powell, analysts said.
The Canadian dollar was up 0.11 cents to 72.39 cents U.S.
The Toronto Stock Exchange fell on Monday, snapping its five-day winning streak, as investors were jittery after U.S. President Donald Trump’s scathing attack on Federal Reserve Chair Jerome Powell for not cutting interest rates.
The president called Powell a “major loser” in a social media post on Monday, which raised concerns about the independence of the central bank.
In corporate news, a U.S. appeals court on Monday revived a proposed data privacy class action against Shopify, whose shares began Tuesday up $2.70, or 2.4%, to $115.62.
Elsewhere, health-care stocks got some momentum back. Bausch Health Companies topped the benchmark index with a jump of 59 cents, or 9.1%, to $7.10, after the pharmaceutical firm said billionaire Carl Icahn has a total economic exposure of about 34% to the company’s common shares. The stock had fallen 8% on Monday.
Economically speaking, Statistics Canada said its March Industrial Product Price Index rose 0.5% month over month in and increased 4.7% year over year.
The same month, its Raw Materials Price Index declined 1.0% month over month in and grew 3.9% year over year.
ON BAYSTREET
The TSX Venture Exchange was positive 4.28 points to 635.20.
All but one of the 12 subgroups were higher midday, led by health-care, zooming 3.4%, while energy soared 2.1% and financials were richer 1.6%.
Gold dulled in price 0.2%.
ON WALLSTREET
Stocks rallied Tuesday, rebounding from a sharp selloff in the previous session, as traders navigated rising global trade fears as well as increasing attacks from President Donald Trump toward Federal Reserve Chair Jerome Powell.
The Dow Jones Industrials rocketed 870.11 points, or 2.3%, to 39,040.52.
The S&P index climbed 120.7 points, or 2.3%, to 5,278.90
The NASDAQ Composite spiked 400.68 points, or 2.5%, to 16,271.58.
Tesla shares rose 5% ahead of the company’s first-quarter report after the bell. Netflix climbed 7%, while Meta picked up 2% and Amazon advanced 4%. Manufacturing conglomerate 3M rose 7% on the back of better-than-expected earnings, leading the blue-chip Dow higher.
Tuesday’s action comes on the heels of a sharp selloff. The Dow dropped more than 970 points in the regular session, while the S&P 500 and NASDAQ both slid more than 2%. Monday marked the fourth straight losing session for the Dow and NASDAQ.
Investors grew increasingly uncertain after Trump posted on Truth Social that the economy would slow if the Fed did not cut interest rates. In the latest of multiple recent posts calling out Powell by name, he called the Fed chief “Mr. Too Late” and a “major loser.”
Trump hinted at Powell’s “termination” last week, an unprecedented action that White House economic advisor Kevin Hassett said the president’s team was currently studying. Powell has said he cannot be fired under law and intends to serve through the end of his term in May 2026.
Prices for the 10-year Treasury regained strength Tuesday, raising yields to 4.39% from Monday’s 4.41%. Treasury prices and yields in opposite directions.
Oil prices jumped $1.58 to $64.66 U.S. a barrel.
Prices for gold advanced $10.20 to $3,435.50 U.S.