TSX Keeps Gaining

Canadian stocks rose on Tuesday after consumer price data showed signs of slowing inflation, while shares of Bellus Health nearly doubled on GSK’s buyout deal.

The TSX remained buoyant 35.66 points to pause for lunch Tuesday at 20,677.63.

The Canadian dollar poked up 0.03 cents to 74.68 cents U.S.

Bellus soared $9.57, or 98.6%, to $19.28 after GSK’s plan to buy the drug developer in an all-cash deal for $2 billion,

Among other major movers, Nuvei reversed its field and actually gained 39 cents to $57.23, after Spruce Point Capital Management released a “strong sell” report on the fintech company.

Loblaw went backward 68 cents to $123.46 after the retailer and its parent company George Weston appointed Per Bank the new chief executive officer and president of Loblaw.

On the economic calendar, the Consumer Price Index rose 4.3% on a year-over-year basis in March, following a 5.2% increase in February. On a seasonally adjusted monthly basis, the CPI rose 0.1% in March.

ON BAYSTREET

The TSX Venture Exchange backpedaled 1.77 points to move into noon hour at 629.52.

Seven of the 12 TSX subgroups were higher, with health-care propelled higher 11.1%, gold up 1%, and financials richer by 0.5%.

The five laggards were weighed most by utilities, down 0.9%, consumer staples, sliding 0.7%, and energy, 0.4% less energetic.

ON WALLSTREET

The S&P 500 dipped slightly Tuesday as traders digested a slew of earnings reports and their implications for the U.S. economy.

The Dow Jones Industrials subsided midday Tuesday by 71.13 points to 33,916.05, dragged lower by declines from Goldman Sachs, Johnson & Johnson and other healthcare stocks.

The S&P 500 lost 3.94 points to 4,147.38.

The NASDAQ ditched 19.07 points to 12,138.65.

Major benchmarks fluctuated as investors assessed the latest batch of key earnings reports. Despite a tough economic environment, Bank of America surpassed first-quarter expectations on the top and bottom lines as rates rose, but shares dipped 1.5%.

Johnson & Johnson’s stock fell 2.4% even after it beat estimates and raised its 2023 guidance. Healthcare stocks Walgreens Boots Alliance and UnitedHealth fell 1% each, also weighing on the Dow.

Elsewhere, Goldman Sachs shares slumped 2% after the banking giant reported lighter-than-expected revenue, dragged down by a $470-million hit from its Marcus loans.

Prices for the 10-year Treasury gained ground, lowering yields to 3.58% from Monday’s 3.60%. Treasury prices and yields move in opposite directions.

Oil prices regained 48 cents to $81.31 U.S. a barrel.

Gold prices recovered $15.00 to $2,022.00 U.S. an ounce.

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