Stock market: Toronto closes almost 200 points

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MARKET OVERVIEW. The Toronto Stock Exchange continued its upward trend on Monday thanks to the energy and commodities sectors. For his part the New York Stock Exchange closed lower Monday on a lack of news to add to last week’s momentum.

Consult market news (again).

Stock market indices at close of trading

In Toronto, the S&P/TSX rose by 195.41 points (+1.03%) to 19,258.32 points.

In New York, the S&P500 closed up 11.63 points (-0.30%) at 3,900.11 points.

the Nasdaq declined 83.07 points (-0.72%) to 11,524.55 points.

the DOW fell 62.42 points (-0.20%) to 31,438.26 points.

the loons rose by US$0.0010 (+0.1305%) to US$0.7769.

the oil rose $2.19 (+2.03%) to $109.81.

L’gold fell $6.30 (-0.34%) to $1,824.00.

the Bitcoin fell from $454.02 (-2.13%) to $20,894.74.

the context

“We were faced with an indecisive session as last week’s momentum (…) lost momentum,” Schwab analysts commented in a note.

“The +rally+ (buying movement) last week was very important. It couldn’t go on like this,” added Gregori Volokhine from Meeschaert Financial Services.

For the manager, the fact that the number of US durable goods orders in May, released on Monday, came in well ahead of expectations, rising 0.7% versus 0.1% expected, also played a role in the situation.

“Right now we’re looking at any signs related to inflation or the slowdown in the economy,” he recalled. “But the numbers went in the opposite direction. (…) It reminded us that this economy did not come to an abrupt halt. »

As a result, bond yields rose quite sharply, a sign that Wall Street expects interest rates to rise in the coming months. The US 10-year Treasury yield was 3.20% versus 3.13% on Friday.

“There weren’t too many questions to ask,” says Gregori Volokhine. “When we saw prices rising, we knew the Nasdaq was going to fall. »

In fact, the giants of the electronic stock market, essentially technology stocks, have retreated, from Amazon (-2.78%) to Alphabet (-1.62%) via PayPal (-2.24%).

In contrast, the healthcare sector performed well, from Merck (+1.37%) to UnitedHealth Group (+2.02%).

Elsewhere on the stock market, Spirit Airlines fell (-7.95% to $22.57) after a major advisory firm Institutional Shareholder Services (ISS) recommended Thursday that shareholders consider it to be acquired by rival Frontier ( -) agree. 11.20%).

The latter’s offer, noted even on Friday, is significantly lower than that of JetBlue (+1.62%), which, moreover, is made entirely in cash, while that of Frontier is mainly in shares.

Online brokerage site Robinhood fell 14% (to $9.12) on information from Bloomberg agency, which cited interest from cryptocurrency platform FTX in a potential takeover.

One of FTX’s competitors, Coinbase, ended down sharply (-10.76%), as did Toronto-listed Voyager Digital (-24.68%). The latter announced that Singapore-based alternative investment company Three Arrows Capital had defaulted on a $350 million loan granted by Voyager.

Investors fled Digital World Acquisition Corp (-9.56% to $25.16), the publicly traded vehicle set to merge with Donald Trump’s new media group. The company said Monday that the operation is the subject of a criminal investigation by federal agencies, which are considering a trial.

Cinema chain AMC jumped (+13.31% to $14.13) after a weekend in which the movie “Elvis” did better-than-expected at the box office, as did “Top Gun: Maverick,” which was the world’s exceeded the billion dollar mark.

“We were faced with an indecisive session because of last week’s momentum […] ran out of steam,” commented Schwab analysts in a note.

“That rally (buying movement) last week was very important. It couldn’t go on like this,” added Gregori Volokhine of Meeschaert Financial Services.

For the manager, the fact that the number of US durable goods orders in May, released on Monday, came in well ahead of expectations, rising 0.7% versus 0.1% expected, also played a role in the situation.

“Right now we’re looking at all the signs related to inflation or the economy slowing down,” he said. But the numbers went in the opposite direction. […] It reminded us that this economy did not come to an abrupt halt at all.”

As a result, bond yields rose quite sharply, a sign that Wall Street expects interest rates to rise in the coming months. The US 10-year Treasury yield was 3.20% versus 3.13% on Friday.

“There weren’t too many questions to ask,” says Gregori Volokhine. “When we saw interest rates rising, we knew the Nasdaq was going to fall.”

In fact, the giants of the electronic stock market, essentially technology stocks, are in retreat.Amazon (AMZD, $113.22, -2.78%) at Alphabet (GOOGL, $2,316.67, -1.62%)pass PayPal (PYPL, $75.94, -2.24%).

On the other hand, the healthcare sector developed well, Merck (MRK, $94.41, +1.37%) at UnitedHealth Group (UNH, $505.66, +2.02%).

Elsewhere on the coast, the company Spirit Airlines fall behind (SAVE, $22.57, -7.95%) following a recommendation by a major consulting firm Institutional Shareholder Services (ISS) to shareholders to vote for the takeover by the competitor on Thursday Frontier (FYBR, $24.29, -11.20%).

The latter offer, even increased on Friday, is significantly lower than that of JetBlue (JBLU, $8.76, +1.62%) which, moreover, is exclusively in cash, while Frontier’s is mainly in shares.

The online brokerage site Robin Hood 14% decreased (HOOD, $9.12) based on information from the Bloomberg agency, which has sparked the interest of the cryptocurrency platform FTX in a possible takeover.

One of FTX’s competitors, Coinbase (COIN, $55.96)also ended with a sharp decline (-10.76%). Voyager Digital (VOYG, $0.58 CAD, -24.68%), listed him in Toronto. The latter announced that Singapore-based alternative investment firm Three Arrows Capital had defaulted on a $350 million loan granted by Voyager.

Investors fled Digital World Acquisition Corp (DWAC, $25.16, -9.56%), the publicly traded vehicle to merge with Donald Trump’s new media group. The company said Monday that the operation is the subject of a criminal investigation by federal agencies, which are considering a trial.

The cinema chain CMA jumped up (AMC, $14.13, +13.31%)after a weekend seeing the film elvis perform better than expected at the box office, fitting Top Gun: Maverickwhich achieved worldwide sales of over 1 billion US dollars.

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