TSX manages to end the week higher
Despite some weak finishes this week, the main index of the TSX closed slightly up over the week. Friday’s session was boosted by strength for financials and the rainfall in Alberta helping to contain the wildfires, which gave energy stocks a lift.
Oil prices slipped back on the stronger US dollar but were up around 4 per cent for the week, helping gains in Asia, Europe and Wall Street, although regional issues were also in focus.
The S&P/TSX Composite Index closed up 102.3 (0.74 per cent)
The Dow Jones closed up 65.54 (0.38 per cent)
Oil is trending mixed (Brent up at $48.86, WTI down at $47.67 at 4.30pm)
Gold is trending lower (1253.30 at 4.30pm)
The loonie is valued at U$0.7614
Canadian inflation up 1.7 per cent
Inflation was higher in April, Statistics Canada reported Friday. The consumer price index was up to an annualized rate of 1.7 per cent following a 1.3 per cent rate in March.
Energy prices were down 3.2 per cent in the year to April; in March they were down 7.8 per cent. Gasoline prices were down 5.8 per cent in the year to April compared to the 13.6 per cent decline in the 12 months to March.
The rest of the 8 major components of the CPI were higher with food and shelter contributing the most.
Retail prices eased in March
Retail prices declined 1 per cent in March following a 3.1 per cent rise in February with 6 of 11 subsectors declining led by furniture and home furnishings stores. StatsCan said that that in dollar volume terms retail sales declined 1.3 per cent.
Canadians are planning ‘staycations’ as loonie lags
The lower value of the Canadian dollar should be good news for the tourism and hospitality industry as foreign visitors take advantage of the exchange rate and Canadians choose to vacation at home.
A survey by online bank Tangerine found that 83 per cent of Canadian respondents are planning to spend the Victoria Day weekend close to home and 69 per cent say that the loonie is affecting their summer vacation plans.
Just 17 per cent of respondents will be travelling abroad this summer, around half of those visiting the US.