TSX ends up 0.3% at 25,971.93
Eclipses Thursday’s record high
MEG Energy biggest gainer after takeover bid
Investors remain cautious
May 16 – Canada’s main stock index hit a record high on Friday, closing firmer for a sixth consecutive week, as worries about a global trade war eased after the U.S.-China tariff truce over the weekend.
The Toronto Stock Exchange’s S&P/TSX composite index closed up 74.45 points, or 0.29%, at 25,971.93. The index touched 25,992.89 on Friday, topping Thursday’s record high.
For the week, the index gained 2.5%.
The index’s gains tracked those of Wall Street’s main indexes, which rose for the fifth straight day.
This week, the 90-day pause in the US-China tariff dispute, along with the recent US-UK trade agreement, sparked optimism for future US trade deals and helped ease recession concerns.
“There’s a lot of optimism right now. The markets are being driven by momentum,” said Michael Dehal, senior portfolio manager at Dehal Investment Partners of Raymond James.
“But when you look at the sentiment of how people feel, it’s not really matching the momentum. I think people are still a bit cautious, still kind of questioning this rally.”
Data showed the U.S. consumer sentiment slumped further in May, while one-year inflation expectations surged.
On Friday, U.S. President Donald Trump said U.S. officials will send letters to countries in the coming weeks, outlining the costs associated with doing business in the United States, though he did not provide additional details.
On TSX, MEG Energy’s surged 18.7%, making it the day’s biggest gainer, after rival Strathcona announced plans to launch a C$5.93 billion hostile takeover bid of the Canadian oil and gas producer. The energy index gained 0.54%.
Healthcare stocks gained 3%, powered by a 9.7% gain in cannabis company Tilray Brands.
This article was generated from an automated news agency feed without modifications to text.
