North American stock markets opened solidly higher Tuesday, as investors returned from the U.S. long weekend looking to snap up bargains after a week of losses.
In the first 15 minutes of trading, the S&P/TSX composite index was up 119 points or 1.1 per cent at 11,211, while the Dow Jones industrial average was up 104 points or 1.1 per cent at 9,791. The S&P 500 was up 12 points at 1,035 and the Nasdaq composite index was up 29 points at 2,121.
The energy sector was leading the early gains in Toronto, thanks to stronger oil and natural gas prices. Crude oil was up 80 cents (U.S.) at $72.94 a barrel in New York, while natural gas has surged 18 cents to $4.87 per million British thermal units, boosted by a heat wave in eastern Canada and the northeastern U.S. that has sent demand for electricity surging at a multitude of gas-fired generating facilities.
The Canadian market has taken in stride a weak report on building permits. Statistics Canada reported that permits slumped 10.8 per cent in May, reversing course after two months of increases.
The Canadian dollar is up almost two-thirds of a cent at 94.67 cents (U.S.).
Gold is off $5.60 at $1,202.10 an ounce.
U.S. investors are watching for the Institute for Supply Management's monthly index of service-sector activity, due out at 10:00 a.m. (Eastern). Economists are looking for a flat to slightly lower reading on the index, consistent with other recent U.S. economic indicators that have shown a sluggish economy in June.