TSX rises on bank earnings, Wall St. on momentum
Bank earnings week continued Wednesday as Royal Bank and National Bank both beat Q3 profit expectations. Royal was powered by its capital markets business. Canada’s biggest bank leapt over $100/share for the first time since the pandemic hit to close 1.48% higher while National Bank leapt 4.34%.
Their performances lifted the TSX by 1.04%. The energy sector fell 2.26%., but tech, materials and financials offset that weakness. The price of WTI was flat, though WCS slipped over 2%.
Optimism extended south of the border as the S&P made its fourth-straight record close, up 1.02% and the Nasdaq set its 39th record close so far this year, jumping 1.73% as big tech continued to climb to new heights. Facebook shattered the $300 mark, soaring 8.22%, while Netflix and Roku both popped over 11% on analyst reports. But that paled next to Salesforce which rocketed 26% after it blew past estimates and inspired a rash of analyst upgrades. The Dow climbed 0.3% as financials, healthcare and energy lagged, though industrials, consumer and of course tech stocks compensated. The momentum trade in tech also swept up names like Adobe by 9.1%.