TORONTO 鈥� Canada's main stock index was up by more than 90 points on the first day of the month after a mid-morning trading halt due to a technical problem, while U.S. stocks were down on hotter-than-expected employment data and tech stocks.
The S&P/TSX composite index was up 91.57 points at 19,517.71.
The energy index was up 1.29 per cent, while base metals were up more than four per cent.聽
In New York, the Dow Jones industrial average was down 79.75 points at 32,653.20.The S&P 500 index was down 15.88 points at 3,856.10,while the Nasdaq composite was down 97.30 points at 10,890.85.
Technology stocks weighed on the U.S. market Tuesday, and major companies continued to report earnings on both sides of the border.聽
The Canadian markets were buoyed by commodities and energy, said Anish Chopra, managing director with Portfolio Management Corp.
Investors are holding fast in anticipation of a Fed rate hike Wednesday, said Chopra.
鈥淭he Fed will announce its interest rate decision tomorrow afternoon. So investors are just in a wait and see mode,鈥� he said.
Canadian investors are waiting for employment data to be released Friday, but in the U.S. employment data was released Tuesday.聽
Job openings increased in September, pulling U.S. markets down.聽
"Despite the fact that the Federal Reserve has raised interest rates, the labour market is still strong," said Chopra.聽
"The issue is that really drives inflation, because in order to attract workers, you've got to raise wages."聽
The data released Tuesday was unexpectedly hot, showing the central bank isn鈥檛 done with its tightening, said Chopra.
鈥淭he data that came out on the job openings front is certainly good news if you're looking for work, but bad news, if you were an investor, hoping that you would see the Fed pivot sooner. It looks like the most likely case tomorrow will be the Fed will increase rates by 75 basis points.鈥�
While an increase by three-quarters of a percentage point is widely expected, Chopra said the Fed鈥檚 messaging will depend on economic data.聽
鈥淩ight now, based on this data, the U.S. economy is still running very strong,鈥� he said.
The Canadian dollar traded for 73.45 cents UScompared with 73.27 cents US on Monday.
The December crude contract was up US$1.84 at US$88.37 per barrel and the December natural gas contract was down 64 cents at US$5.71 per mmBTU.
The December gold contract was up nine dollars at US$1,649.70 an ounce and the December copper contract was up almost 10 cents at US$3.47 a pound.
This report by The Canadian Press was first published Nov. 1, 2022.
Companies in this story: (TSX:GSPTSE, TSX:CADUSD=X)
Rosa Saba, The Canadian Press
