TORONTO — Strength in commodities helped push Canada’s main stock index up by triple digits to start May after a record-setting month.
Monday’s strong start was driven by weakness in the U.S. dollar, which benefits the materials and energy sectors.
“Almost 100 per cent of the return is coming from materials and energy and that’s just on the back of pressure on the U.S. dollar,” said Mike Archibald, vice-president and portfolio manager with AGF Investments Inc.
The S&P/TSX composite index closed up 104.83 points to 19,213.16.
In New York, the Dow Jones industrial average was up 238.38 points at 34,113.23. The S&P 500 index was up 11.49 points at 4,192.66, while the Nasdaq composite was down 67.56 points at 13,895.12.
The U.S. dollar and bond yields were lower as Federal Reserve chairman Jerome Powell said Monday that monetary policy can’t change while the economic recovery remains uneven, while New York Fed president John Williams added that improving data aren’t yet strong enough for any major shifts in bank policy.
The June crude oil contract was up 91 cents at US$64.49 per barrel and the June natural gas contract was up 3.5 cents at nearly US$2.97 per mmBTU.
The Canadian dollar traded for 81.44 cents US compared with 81.40 cents US on Friday.
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