Equities
World markets won a reprieve after three days of heavy selling that wiped trillions of dollars off the value of shares, but the mood was cautious with a focus on whether Washington might negotiate on some of its aggressive tariffs.
Wall Street’s main indexes opened sharply higher as investors await any sign of the U.S. opening up for trade negotiations.
The Dow Jones Industrial Average rose 2.27 per cent to 38,827.1, the S&P 500 gained 2.59 per cent to 5,193.57, and the Nasdaq Composite climbed 3.70 per cent to 16181.041 at the bell.
The Toronto Stock Exchange’s S&P/TSX composite index opened 2 per cent higher at 23,308.37 points, with information and technology stocks leading the gains.
In Canada, investors are getting results from AGF Management Ltd. and Tilray Brands Inc.
“The mood is a little brighter, at least if you are looking at certain markets such as Japan which might be a priority for trade deal but there is lots of uncertainty,” said Chris Scicluna, head of economic research at Daiwa Capital Markets in London.
“Markets could continue to be extremely volatile.”
Overseas, the pan-European STOXX 600 was up 2.62 per cent in morning trading. Britain’s FTSE 100 gained 2.45 per cent, Germany’s DAX climbed 2.33 per cent and France’s CAC 40 advanced 2.54 per cent.
In Asia, Japan’s Nikkei closed 6.03 per cent higher, while Hong Kong’s Hang Seng rose 1.51 per cent.
Asian stocks bounced back on April 8 following a day of wild swings on Wall Street.
Reuters
Commodities
Oil prices edged higher amid concerns that U.S. tariffs might depress demand and lead to a global recession, with analysts warning downside risks remain.
Brent crude futures firmed 0.4 per cent to US$64.45 a barrel, and West Texas Intermediate (WTI) crude futures rose 0.5 per cent to US$61.01.
“The market has sold off heavily in recent days as it starts to price in a significant demand hit; however, how much of a demand hit we see is still very unclear,” said Warren Patterson, head of commodities strategy at ING.
In other commodities, spot gold gained 0.8 per cent to US$3,007.21 an ounce. U.S. gold futures rose 1.6 per cent to US$3,021.90.
Currencies and bonds
The Canadian dollar strengthened against its U.S. counterpart.
The day range on the loonie was 70.16 US cents to 70.67 US cents in early trading. The Canadian dollar was up about 1.89 per cent against the greenback over the past month.
The U.S. dollar index, which weighs the greenback against a group of currencies, was down 0.28 per cent at 102.97.
The euro advanced 0.55 per cent to US$1.0967. The British pound gained 0.53 per cent to US$1.2792.
In bonds, the yield on the U.S. 10-year note was last up at 4.235 per cent.
Economic news
China aggregate yuan financing and new yuan loans
(6 a.m. ET) U.S. NFIB Small Business Economic Trends Survey for March, which -, eroding most of the gains that followed President Donald Trump’s election victory in November. Rising concerns over the administration’s trade policy are overriding early optimism about a potential business boost from expected tax cuts and deregulation.
(10 a.m. ET) Canada’s Ivey PMI for March
With Reuters and The Canadian Press