Canadian Banks Help the S&P/TSX Composite Trump Its U.S. Peers in Tuesday Trading

Good economics and a sound government (relatively speaking!) help push the TSX higher.

| More on:
The Motley Fool

Tuesday saw North American markets start strong, but as the afternoon went on, U.S. markets turned south while the S&P/TSX Composite (^GSPTSE) held firm.

Strong retail sales numbers for July seemed to help keep Canadian investor’s heads held high, while uncertainty around the whole debt-ceiling, government shut down, etc. dogged the U.S. markets.  In the end, it was Canada +0.29% and the U.S., as represented by the S&P 500, -0.26%.  Ah, the benefits of a highly functioning government!

Leading the Canadian market higher were a couple of the Canadian banks as TD Bank (TSX:TD) and Royal Bank (TSX:RY) booked respective gains of 0.74% and 0.44%.  It was because of the weights that these financial monsters carry in the Index that led to their significant contributions.

Cenovus Energy (TSX:CVE) was another sizeable contributor as the oil sands player booked a respectable 1.88% gain.  Cenovus shares lifted despite the price of WTI oil falling slightly to close at US$103.36/bbl.

In direct contrast, and taking its cue from the declining oil price, Suncor Energy (TSX:SU) was today’s biggest drag on our market.  The stock fell 1.45%.

The reason for the divergence between the two oil giants escapes this Fool at the moment.  There does not appear to be anything material in either case to drive the performance one way or the other.

Motley Fool Canada’s top 2 stock ideas
Our senior investment analyst will unveil his top two stock ideas for new money now on Oct. 1. And YOU can be one of the select few investors to find out first — just click here to reserve your invitation.

Fool contributor Iain Butler owns shares of Cenovus Energy.  The Motley Fool does not own shares of any companies mentioned. 

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

More on Investing

ETF stands for Exchange Traded Fund
Dividend Stocks

How to Earn $2,000 in Passive Income in 2025 With Less Than $51,000 in Savings

You can invest in Canadian high yield stocks via the Vanguard FTSE Canadian High Yield Dividend ETF (TSX:VDY).

Read more »

Asset Management
Investing

Where Will Restaurant Brands International Stock Be in 1/3/5 Years?

Let's dive into where Restaurant Brands (TSX:QSR) could be headed over the near to medium term, shall we?

Read more »

profit rises over time
Tech Stocks

4 Reasons to Buy Constellation Software Stock Like There’s No Tomorrow

Constellation Software stock continued its climb upwards after recent earnings, and this only adds to its appeal.

Read more »

Trans Alaska Pipeline with Autumn Colors
Energy Stocks

Is Enbridge Stock a Good Buy?

Enbridge provides a 6.5% dividend yield right now.

Read more »

calculate and analyze stock
Bank Stocks

Is National Bank of Canada Stock a Buy for its 3.3% Dividend Yield?

While National Bank stock might seem to have a lower dividend yield, its upside could offer a valuable way to…

Read more »

An investor uses a tablet
Investing

4 Value Stocks That Are Must Buys for Canadians in November

Whether you want to add growth or defence to your portfolio, these four stocks are some of the best Canadian…

Read more »

Oil industry worker works in oilfield
Energy Stocks

Is Suncor Stock a Buy, Sell, or Hold for 2025?

Suncor stock looks undervalued as the company continues to increases cash flows, earnings, and shareholder returns.

Read more »

monthly desk calendar
Dividend Stocks

This 7.8% Dividend Stock Pays Out Every Month

Not all monthly dividend stocks are created equal. And this top stock is certainly a strong choice for passive income.

Read more »