TSX rally continues, energy firms lead
With the chance of the Fed increasing interest rates next week fading, especially with weaker-than-expected retail sales data Thursday resources have been given a boost.
It was energy and financials that led the gains for the main TSX index but all but utilities were higher by the close of the session. The index closed almost 1 per cent higher with Wall Street jumping by roughly the same amount with tech firms leading.
Asian markets closed mixed earlier in the day, although trade was thin with some markets closed for holidays including Shanghai. Europe tracked Wall Street to close higher.
The S&P/TSX Composite Index closed up 137.21 (0.97 per cent)
The Dow Jones closed up 177.71 (0.99 per cent)
Oil is trending higher (Brent $46.34, WTI $43.74 at 4.50pm)
Gold is trending lower (1317.80 at 4.50pm)
The loonie is valued at U$0.7603
Canada’s household debt keeps on growing to record high
Despite warnings over the potential risk of high levels of household debt, Canadians keep on borrowing. Statistics Canada reported Thursday that the average for the second quarter of 2016 was $1.67 owed for each dollar of disposable income; a debt-to-income ratio of 167.6 per cent. The figure has risen from 165.3 per cent in the first quarter.
Real estate prices helped push debts to $9.8 trillion in the second quarter, however the share of total debt that is mortgages remained static at 65.6 per cent after increasing over the past 6 years.
Study calls for end to gasoline cars by 2035 to hit climate targets
It’s not something the energy and auto sectors will welcome but a study says that the last gasoline-powered car should be sold in just 19 years’ time in order for climate change targets to be met.
The report, from Climate Action Tracker, assumes that gasoline vehicles would be on the roads until 2050 but it also says that the charging of electric vehicles, which it expects to be the largest replacement sector, must also be from non-fossil fuels.
Wal-Mart expands Visa ban over increased fees
Wal-Mart stores in Manitoba will refuse to take Visa cards as the retailer expands it ban due to increased processing fees. The firm says the fees it pays are excessive and will stop accepting Visa-branded cards in the province on Oct. 24.