(New York) The New York Stock Exchange ended higher on Monday, on a market still well oriented and reassured by a rather successful American debt issue, at the start of a week which promises to be calm.
The Dow Jones rose 0.58%, the NASDAQ index gained 1.13% and the broader S&P 500 index gained 0.74%.
Strength in base metals and technology contributed to the rise in Canada’s main stock index.
The S&P/TSX composite index on the Toronto floor gained 70.70 points to end the session with 20,246.47 points.
On the currency market, the Canadian dollar traded at an average rate of 72.85 US cents, according to XE.com, down from 72.88 US cents on Friday.
On the New York Mercantile Exchange, the price of crude oil rose US$1.79 to US$77.83 per barrel, while natural gas fell 8 US cents to US$3.05 per barrel. million BTUs.
The price of gold returned US$4.40 to US$1,980.30 per ounce and that of copper appreciated by US$8 cents to US$3.81 per pound.
“The only thing investors paid attention to today was this debt issue, and the results were good,” said Jack Ablin of Cresset Capital.
The US Treasury has, in fact, auctioned 16 billion dollars of 20-year bonds, at a median rate of 4.73%, slightly lower than the current yield of bonds of the same maturity on the market, i.e. 4.77 %.
Peter Boockvar, of Bleakley Financial Group, nevertheless noted that the ratio between demand and supply, closely followed for this type of operation, had been lower than the average for the past year, a sign of a measured appetite.
The issue was therefore “mixed”, according to him, but “sufficient to drive the bond market”, he concluded.
The yield on 10-year US government bonds fell slightly to 4.41%, compared to 4.43% at Friday’s close. As rates move in the opposite direction to the price, this is a sign of a strengthening of the bond market.
“The Treasury is putting enormous volumes of debt on the market,” recalled Jack Ablin, the result of a widening US government deficit. “And investors were concerned that this would push rates up to attract demand,” which has not been the case so far.
This event allowed Wall Street to maintain its momentum and the S&P 500 to record its 14the positive session in 16 trading days.
“The soft landing of the (American) economy is now the central scenario” for the New York market, which benefits stocks.
Wall Street was also stimulated by Microsoft (+2.05%), driven by the announcement of the hiring of the co-founder and former general director of OpenAI, Sam Altman, removed from the start-up on Friday by the board of administration.
The Redmond (Washington State) group, whose action reached a record on Monday, seems set to take advantage of this crisis to further establish its position as a locomotive for so-called generative artificial intelligence (AI).
Microsoft ($2,805 billion) is now within reach of the world’s largest capitalization, Apple ($2,977 billion).
Other AI stars shone, like the data analysis specialist Palantir (+4.15%) or the graphics card manufacturer Nvidia (+2.25%), whose quarterly results are expected Tuesday after trading.
In a market made volatile by the absence of a number of operators, already focused on the Thanksgiving holiday on Thursday, several stocks customary with sudden variations were at the party, such as Coinbase (+7.12%), Arm ( +6.71%) or Alibaba (+1.11%).
Boeing (+4.65%) benefited from an increase in recommendation from analysts at Deutsche Bank, who are now buying the stock and who are confident in the aircraft manufacturer’s ability to increase its delivery rates.
The Argentine oil giant YPF soared (+40.07%) after the victory of the ultraliberal Javier Milei in the presidential election in Argentina. The economist mentioned the privatization of the energy group, nationalized in 2012.
The Bristol Myers Squibb laboratory fell (-3.82%) after the announcement of the postponement of a decision by the American Medicines Agency (FDA) concerning the expansion of cases of use of its cancer treatment Abecma , developed in collaboration with the biotech 2seventy bio (-18.31%).
Toronto Stock Exchange
Strength in base metals and technology helped Canada’s main stock index rise Monday, while U.S. stocks also rose as November’s gains continued.
The S&P/TSX composite index on the Toronto floor gained 70.70 points to end the session with 20,246.47 points.
On the currency market, the Canadian dollar traded at an average rate of 72.85 US cents, down from 72.88 US cents on Friday.
On the New York Mercantile Exchange, the price of crude oil rose US$1.79 to US$77.83 per barrel, while natural gas fell 8 US cents to US$3.05 per barrel. million BTUs.
The price of gold returned US$4.40 to US$1,980.30 per ounce and that of copper appreciated by US$8 cents to US$3.81 per pound.
The Canadian Press