Canada’s main stock index ended higher yesterday as a rise in oil prices fueled energy shares. Banks rallied as investors spruced up their portfolios ahead of the end of the quarter today. Canadian banks were among the key drivers behind the TSX’s rally, and analysts said this was largely due to end of the 2nd quarter “window dressing” as semi-annual financial statements are due out. The TSX index’s financial group ended up 1.7%. The index’s energy sector ended the session up 1.4%, helped largely by the price of oil, which rallied more than 3% on reports of rebel attacks on an oil facility in Nigeria and hopes for an economic rebound.

The S&P/TSX composite index rose 0.84% after last week’s 0.99% rise. The TSX is up 20% in the 2nd quarter with just one day to go before the quarter ends. Also helping investor sentiment was a rally in global stocks on optimism about a stronger outlook for euro zone economies. Trading for the rest of the holiday shortened week is expected to be thin. The TSX will be closed on Wednesday, July 1st for Canada Day, while U.S. markets will be closed on Friday, July 3rd, for Saturday’s July 4th Independence Day holiday.

In the United States stocks rose as higher oil prices lifted shares of energy companies. The S&P 500 is up 16.2% so far for the quarter, putting it on track for its best quarter since the 4th quarter of 1998, when the index jumped nearly 21%. The S&P 500 has gained 37% since hitting a 12-year closing low in early March as early signs of an economic rebound surfaced. Financials were the day’s top advancer and the leader for quarterly gains, followed by technology.

The Dow Jones industrial average gained 1.08%, the Standard & Poor’s 500 Index gained 0.91% and the Nasdaq Composite Index gained 0.32%.

U.S. stock index futures look to extend yesterday’s gain this morning and energy shares could advance as crude oil hit its 8 month highs above $72/bbl amid Nigerian strikes

Regards,

Wilfred Vos Bcs, FMA, CIM, CFP, FCSI, DMS, CBV, MBA, CFA

SVP & Partner