TSX closes higher following Yellen speech... Federal government posts $1 billion deficit... Finance veteran warns that loonie could fall to 65 cents...
TSX closes higher following Yellen speech
Oil and gold prices reacted positively to Fed chair Janet Yellen’s speech Friday in which she said there was now a stronger case for interest rate rises.
Energy stocks and financials were among the sectors that gained on the main TSX index. Industrials saw the largest gain while the utilities group was the biggest loser.
Wall Street closed mixed with only the Nasdaq closing higher following Yellen. European indexes closed higher following the speech. Asian markets closed earlier in the day and were broadly lower.
The S&P/TSX Composite Index closed up 9.16 (0.06 per cent)
The Dow Jones closed down 53.01 (0.29 per cent)
Oil is trending higher (Brent $49.75, WTI $47.38 at 4.50pm)
Gold is trending lower (1324.30 at 4.50pm)
The loonie is valued at U$0.7692
Federal government posts $1 billion deficit
Ottawa posted a budget deficit of $1.1 billion in June compared to a $1.1 billion surplus a year earlier. Canada’s Fiscal Monitor shows that revenue was down 2.2 per cent ($0.5 billion) on lower tax revenues from companies, non-resident income tax and excise taxes and duties.
The quarterly figures also show a deficit; $1.0 billion compared to a surplus of $5 billion for the same period of 2015. Revenues fell 2.1 per cent ($1.5 billion) while expenses increased 8.3 per cent ($5.1 billion).
The monthly and quarterly data does not show the whole story regarding the federal finances as revenues and expenses timings can vary from year to year.
Finance veteran warns that loonie could fall to 65 cents
The Canadian dollar could be set to fall to U$0.65 according to US veteran investor Ken Courtis.
The former Goldman Sachs executive and current chair of Starfort Investment Holdings told BNN that the short-term outlook is for the loonie to gain but Courtis then sees a decline, continuing the drop that happened at the start of 2016.
Oil and gold prices reacted positively to Fed chair Janet Yellen’s speech Friday in which she said there was now a stronger case for interest rate rises.
Energy stocks and financials were among the sectors that gained on the main TSX index. Industrials saw the largest gain while the utilities group was the biggest loser.
Wall Street closed mixed with only the Nasdaq closing higher following Yellen. European indexes closed higher following the speech. Asian markets closed earlier in the day and were broadly lower.
The S&P/TSX Composite Index closed up 9.16 (0.06 per cent)
The Dow Jones closed down 53.01 (0.29 per cent)
Oil is trending higher (Brent $49.75, WTI $47.38 at 4.50pm)
Gold is trending lower (1324.30 at 4.50pm)
The loonie is valued at U$0.7692
Federal government posts $1 billion deficit
Ottawa posted a budget deficit of $1.1 billion in June compared to a $1.1 billion surplus a year earlier. Canada’s Fiscal Monitor shows that revenue was down 2.2 per cent ($0.5 billion) on lower tax revenues from companies, non-resident income tax and excise taxes and duties.
The quarterly figures also show a deficit; $1.0 billion compared to a surplus of $5 billion for the same period of 2015. Revenues fell 2.1 per cent ($1.5 billion) while expenses increased 8.3 per cent ($5.1 billion).
The monthly and quarterly data does not show the whole story regarding the federal finances as revenues and expenses timings can vary from year to year.
Finance veteran warns that loonie could fall to 65 cents
The Canadian dollar could be set to fall to U$0.65 according to US veteran investor Ken Courtis.
The former Goldman Sachs executive and current chair of Starfort Investment Holdings told BNN that the short-term outlook is for the loonie to gain but Courtis then sees a decline, continuing the drop that happened at the start of 2016.
