TSX Ends Flat After Stocks Rally In The Final Hour

(RTTNews) - Despite staying weak almost the entire session on Thursday, the Canadian market ended flat with stocks rallying smartly in the final hour.

While worries about inflation and interest rates weighed on sentiment, optimism over progress in U.S. debt ceiling negotiations helped pull the market out lower levels.

The benchmark S&P/TSX Composite Index settled at 20,297.09, up 0.66 points, recovering from a low of 20,170.95.

Materials shares fell on weak bullion prices. Healthcare stocks found some support. Several stocks from energy, industrials and technology sectors gained, contributing significantly to market's recovery from lower levels.

The Materials Capped Index declined 1.42%. Equinox Gold Corp (EQX.TO), Oceanagold (OGC.TO), Osisko Mining Inc (OSK.TO), First Quantum Minerals (FM.TO), Osisko Gold Royalties (OR.TO), Eldorado Gold (ELD.TO), Fortuna Silver Mines (FVI.TO), Barrick Gold (ABX.TO) and Centerra Gold (CG.TO) lost 3 to 4.7%.

Healthcare stock Bausch Health Companies (BHC.TO) soared nearly 15%. Tilray Inc (TLRY.TO) and Chartwell Retirement Residences (CSH.UN.TO) gained 1.54% and 1.64%, respectively.

Energy stocks Birchcliff Energy (BIR.TO), Tourmaline Oil Corp (TOU.TO) and Advantage Oil & Gas (AAV.TO) gained 4.3%, 3.1% and 2.8%, respectively. Arc Resources (ARX.TO), Cenovus Energy (CVE.TO) and Imperial Oil (IMO.TO) were among the other prominent gainers in the energy sector.

Technology stocks Quarterhill (QTRH.TO) and Coveo Solutions (CVO.TO) climbed 5.7% and 3.7%, respectively. Opex Text Corp (OTEX.TO) surged 2.1%, while Celestica Inc (CLS.TO) and Sylogist (SYZ.TO) both gained about 1.5%.

In the industrials section, Ats Corp (ATS.TO) rallied more than 6%. Ritchie Bros Auctioneers (RBA.TO) climbed 5.1% and Bombardier Inc (BBD.B.TO) surged 3.7%.

In economic news, data from Statistics Canada showed new home prices in Canada fell by 0.1% month-on-month in April of 2023, following a flat reading in the prior month. Year-on-year, new home prices in Canada fell by 0.2% in April of 2023, the first decline since November 2019, after rising 0.2% in the prior month.