TSX Recovers from Early Morning Geopolitical Conflict

Markets in Toronto had to fight their way back from a series of negatives Tuesday, following word Russia and Ukraine may have been escalating tensions. Those hostilities subsided somewhat as the day wore on, and markets responded in kind.

The TSX climbed 33.83 points to wrap up Tuesday at 25,010.77, from a deep gulch during the morning.

The Canadian dollar moved up 0.33 cents to 71.65 cents U.S.

Among individual stocks, TC Energy forecast 2025 core profit to be in the range of about $10.7 billion to $10.9 billion, higher than its 2024 forecast. Its shares slipped 55 cents to $69.38.

Elsewhere in energy, Tamarack Valley Energy dropped eight cents, or 1.8%, to $4.37, while Birchcliff Energy dropped a dime, or 2%, to $4.99.

Consumer staples also felt around for bruises, as George Weston got tagged $7.14, or 3.2%, to $215.01, while Loblaw Companies suffered $2.83, or 1.6%, to $175.15.

In the consumer discretionary sector, MTY Food Group fell $2.08, or 4.5%, to $44.57, while Magna International shed $1.53, or 2.5%, to $59.97.

Gainers were led by the gold sector, primarily, Aya Gold, up 64 cents, or 4.9%, to $13.80, while New Gold surged 16 cents, or 4.3%, to $3.89.

In materials, Agnico Eagle Mines jumped $3.05, or 2.7%, to $115.19, while SSR Mining captured 20 cents, or 2.5%, to $8.11

In utilities, Capital Power jumped 94 cents, or 1.6%, to $59.42, while Hydro One popped 56 cents, or 1.1%, to $51.92.

In matters economic Tuesday, Statistics Canada reported its Consumer Price Index rose 2.0% on a year-over-year basis in October, up from a 1.6% increase in September. On a seasonally adjusted monthly basis, the CPI rose 0.3% in October.

ON BAYSTREET

The TSX Venture Exchange climbed 5.06 points to 599.23.

Eight of the 12 subgroups were in the red. Industrials dipped 0.9%, while consumer staples faltered 0.7%, and health-care faded 0.6%.

The three gainers consisted of gold and materials, each better by 1.1%, and communications, ahead 0.1%.

ON WALLSTREET

The NASDAQ Composite gained Tuesday, driven by Nvidia shares, as investors shrugged of concerns of mounting geopolitical tensions between Ukraine and Russia.

The Dow Jones Industrials came off their lows of the morning, but remained negative 120.66 points to 43,268.94.

The S&P 500 jumped 23.76 points to 5,916.98.

The tech-heavy NASDAQ climbed 195.66 points, or 1%, to 18,987.47.

The market pressure began overnight after Russian President Vladimir Putin warned the U.S. that the threshold for the use of nuclear weapons had lowered, a new stance coming after President Joe Biden allowed Ukraine to use U.S. weapons to strike inside Russia.

Then losses accelerated on news that Ukraine hit Russian border region Bryansk with U.S.-made missiles, according to the Russian military.

The New York Times confirmed the attack, citing U.S. and Ukrainian officials. The attack was on an ammunition warehouse, according to the report.

Nvidia gained nearly 5% ahead of its closely watched earnings report Wednesday.

Walmart added 3% after posting better-than-expected earnings and hiking its outlook on strong discretionary spending. Tesla rose 2%, bringing its month-to-date rally to 38%. Shares are headed for their best month since January 2023. Alphabet and Amazon also added more than 1%.

Prices for the 10-year Treasury jumped, lowering yields to 4.39% from Monday’s 4.42%. Treasury prices and yields move in opposite directions.

Oil prices regained 37 cents to $69.53 U.S. a barrel.

Prices for gold took on $23.30 an ounce to $2,637.90 U.S.