Powell holds interest rates as Saudi Aramco IPO spikes
The TSX was flat while New York indices ticked up during Wednesday’s trading. American markets were lifted after U.S. Fed Chair, Jerome Powell, announced that given the healthy economy he was holding interest rates steady, which the market had predicted. Meanwhile, geopolitics continues to cast a shadow. The new NAFTA deal was signed Tuesday, but there remain questions over amendments, and the U.S.
Senate now says it won’t ratify it this year. Turning to M&A, the Canadian Transportation Agency has approved Onex‘s takeover of Westjet, as long as Onex has a majority of Canadians on its board voting on Westjet business. Up 1.47% Wednesday, the airline will be delisted from the TSX in the coming days. Onex opened the day strong, but dipped slightly in the negative by the close. After the bell, Lululemon issued a downbeat holiday sales forecast and slid as much as 5% in after-hours trading.
Elsewhere, the long-anticipated Saudi Aramco spiked 10% on its first day of trading and already close to a US$1.9-trillion (with a T) market capitalization. That puts it within range of its US$2-trillion target. To compare, Microsoft‘s market cap is US$1.2 trillion.
✈ Westjet Airlines +1.47%
👕 LuLulemon Athletica -4.37%