Canada's S&P/TSX Composite Gains 1.36% as Markets Close Strong
TORONTO – The Canadian S&P/TSX Composite Index ended with a solid gain of 1.36% as trading concluded on Monday.
Top Performers of the Day
The session saw Africa Oil Corp leading the pack, with its shares rising 10.34% to close at $2.56. Other notable performers included Birchcliff Energy Ltd., which increased by 6.47%, ending at $6.25, and First Quantum Minerals Ltd., which grew by 6.13%, wrapping up the day at $18.18.
Struggling Stocks
On the downside, Osisko Gold Royalties saw a drop of 5.39%, closing at $21.26. Energy Fuels Inc. experienced a decline of 4.94% to $7.89, and Celestica Inc. fell 4.92% to $72.86.
Market Breadth
In simpler terms, on the Toronto Stock Exchange, more companies' stocks went up than went down. Specifically, 672 stocks gained in value, 286 stocks fell, and 77 remained unchanged.
Volatility
The S&P/TSX 60 VIX, a tool used to measure market volatility (how much the price of stocks is expected to fluctuate), decreased by 19.98% to 9.05. Lower numbers here generally indicate less expected volatility.
Commodities Update
- Gold Futures for August delivery went up by 0.63%, reaching $2,345.90 per troy ounce.
- Crude Oil for August delivery increased by 1.16% to $81.67 per barrel.
- Brent Oil for September delivery rose by 1.02%, trading at $85.19 per barrel.
Forex Highlights
- The CAD/USD exchange rate remained almost the same, showing a tiny movement of 0.25%, meaning 1 CAD (Canadian Dollar) is nearly equal to 0.73 USD (US Dollar).
- The CAD/EUR exchange rate also showed a minor change of 0.19%, meaning 1 CAD is almost equal to 0.68 EUR (Euro).
- The US Dollar Index Futures, which measures the value of the US dollar against a basket of other currencies, dropped by 0.29% to 105.14.
Understanding Key Terms
Top Performers: These are the stocks that increased the most in value. For example, if a stock was valued at $2 yesterday and is $2.50 today, it's a top performer.
Volatility: This indicates how much a stock’s price can vary within a short time. Less volatility means the prices are more stable. For instance, if the price of a stock doesn't change much over time, it has low volatility.
Gold Futures: Contracts to buy gold at a future date at an agreed price. It’s like promising to buy 10 grams of gold next month at today’s price, no matter what the price will be next month.
Exchange Rates: These tell you how much one currency is worth in another currency. For instance, if you travel from Canada to the US, knowing the exchange rate helps you understand how much US dollars you’ll get for your Canadian dollars.
Overall, the S&P/TSX Composite Index had a strong day with most stocks performing well and commodities like gold and oil also seeing price increases.
