The Toronto Stock Exchange closed 0.7% higher at 24,898.03
Materials Group rose 3.3%
Energy rose 1.6% and oil rose nearly 2%
(Updated at closing)
Jan 2 (Reuters) – Canada’s main stock index rose on Thursday for the first trading day of 2025, recouping some of December’s losses as rising commodity prices boosted energy and metals mining stocks.
The S&P/TSX Composite Index closed up 170.09 points, or 0.7%, to 24,898.03 points, the highest closing level since December 17.
In 2024, the TSX rose nearly 18%, its largest annual gain since 2021.
“Like an unexpected holiday guest, December’s market turn came uninvited and unplanned,” Greg Taylor, chief investment officer at Purpose Investments, said in a note.
“We may be entering a new normal with milder returns and higher volatility. Tactical strategies and hedging will be key to getting through this period.”
Domestic data are optimistic. Reports showed manufacturing activity grew at the fastest pace in nearly two years in December, with U.S. customers accumulating inventories in anticipation of trade tariffs, providing some support for export sales.
Oil prices rose nearly 2% to $73.13 a barrel, while energy rose 1.6% after Chinese President Xi Jinping pledged to boost economic growth.
Gold prices also rose, boosting metals mining stocks. The material group increased by 3.3%.
Nine of the 10 major sectors were higher. Heavyweight financial stocks were the exception, closing down 0.3%. (Reporting by Fergal Smith in Toronto and Ragini Mathur in Bengaluru; Editing by Sahar Mohammad and Richard Chang)