TORONTO 鈥� sa国际传媒's main stock index was up for the third day in a row, while U.S. stock markets also rose.
The S&P/TSX composite index was up 178.61 points at 19,097.01.
In New York, the Dow Jones industrial average was up 337.12 points at 31,836.74.The S&P 500 index was up 61.77 points at 3,859.11,while the Nasdaq composite was up 246.51 points at 11,199.12.
The markets are up for the third business day in a row on treasury yields, which were down in the U.S. and sa国际传媒, as well as speculation that aggressive rate hikes will ease soon, said Mona Mahajan, senior investment strategist at Edward Jones.聽
Both the Bank of sa国际传媒 and the Fed are expected to each announce one more outsized rate hike, likely at 75 basis points, though a 50-point hike isn鈥檛 out of the question for sa国际传媒, said Mahajan.聽
Markets are also getting a boost from earnings, which, while still early in the season, company results have so far have been exceeding expectations, she said. 聽
鈥淲e鈥檙e seeing earnings hold up, the consumer in that story is holding up as well,鈥� she said. 鈥淏ut I think ultimately鈥� a Fed pause would be what really drives a more sustainable rally.鈥�
Earnings are a lagging indicator, since they don鈥檛 represent a company鈥檚 current situation, noted Mahajan.聽
鈥淭hey probably don't fully reflect the full extent of the rate hikes and the rate hikes that are coming as well. So there's probably a softening in earnings and economic growth ahead of us,鈥� she said. 鈥淏ut I guess the relatively good news is we're starting from a better position to absorb some of the potential rate hikes.鈥�
Looking forward, she said U.S. tech results will provide insight into how advertising is faring.聽
The Canadian dollar traded for 73.32 cents US, compared with 72.88 cents US on Monday.
Mahajan said the U.S. dollar has been softening.
"I think the U.S. dollar weakness has kind of propped up a lot of currencies, especially with major trading partners," she said.
The December crude contract was up 74 cents at US$85.32 per barrel and the December natural gas contract was up 41.3 cents at US$6.17 per mmBTU.
The December gold contract was up US$3.90 at US$1,658.00 an ounce and the December copper contract was down 3.4 cents at US$3.40 a pound.
This report by The Canadian Press was first published Oct. 25, 2022.
Companies in this story: (TSX:GSPTSE, TSX:CADUSD=X)
The Canadian Press
