TSX Ends 1.6% Up On Broad-based Buying After U.S. Inflation Data

(RTTNews) - The Canadian market ended on a buoyant note on Tuesday with investors picking up stocks across the board after data showing tamer than expected U.S. inflation raised hopes the Fed will not hike interest rates again.

Interest rate sensitive financials, real estate and utilities shares posted strong gains. Materials, healthcare and technology stocks rallied sharply. Several stocks from consumer discretionary, industrials and communications sectors too posted impressive gains.

The benchmark S&P/TSX Composite Index ended up 314.58 points or 1.6% at 20,023.73, rising past the 20,000 mark for the first time in almost two months.

The Labor Department said U.S. consumer price index was unchanged in October after climbing by 0.4% in September. Economists had expected consumer prices to inch up by 0.1%. Core consumer prices edged up by 0.2% in October after rising by 0.3% in September. Core prices were expected to rise by another 0.3%.

The report also said the annual rate of consumer price growth slowed to 3.2% in October from 3.7% in September. Economists had expected the pace of growth to decelerate to 3.3%.

In Canadian economic news, data released by Statistics Canada this morning showed car registrations in Canada increased to 163,279 units in September from 158,531 units in August.

The Real Estate Capped Index climbed 4.37%. Tricon Capital Group (TCN.TO) surged more than 8%. Crombie Real Estate (CRR.UN.TO), CT Real Estate Investment Trust (CRT.UN.TO), Colliers International (CIGI.TO) and Choice Properties (CHP.UN.TO) gained 5 to 6.2%.

The Health Care Capped Index climbed 2.97%. Chartwell Retirement Residences (CSH.UN.TO) gained 4.2%, Bausch Health Companies (BHC.TO) advanced 3.1%, Sienna Senior Living (SIA.TO) gained 2.75% and Tilray Inc (TLRY.TO) ended 1.7% up.

The Utilities Capped Index jumped 2.95%. Brookfield Renewable Partners (BEP.UN.TO) and Innergex Renewable Energy (INE.TO) gained 8.6% and 7%, respectively. Boralex Inc (BLX.TO) moved up 5.6%, while Algonquin Power & Utilities Corp (AQN.TO) and Northland Power (NPI.TO) both gained nearly 5%.

The Materials Capped Index surged 2.66% with several stocks climbing higher on strong bullion prices. K92 Mining Inc (KNT.TO) and Fortuna Silver Mines (FVI.TO) soared 10.4% and 10%, respectively. First Majestic Silver Corp (FR.TO), Interfor Corp (IFP.TO), Seabridge Gold Inc (SEA.TO), MAG Silver Corp (MAG.TO), Pan American Silver Corp (PAAS.TO) and Lundin Mining Corp (LUN.TO) gained 5.5 to 8.5%.

In the financials sector, Sun Life Financial Inc (SLF.TO) gained about 3.75% after reporting stronger than expected quarterly earnings.

National Bank of Canada (NA.TO), ONEX Corp (ONEX.TO), CDN Western Bank (CWB.TO), Bank of Montreal (BMO.TO), Canadian Imperial Bank of Commerce (CM.TO), Royal Bank of Canada (RY.TO), Laurentian Bank (LB.TO), Bank of Nova Scotia (BNS.TO) and Toronto-Dominion Bank (TD.TO) posted impressive gains.