By Stewart Lewis
(May 30 – 17:20 ET) – South of the border, Wall Street’s annual “summer rally” began right on cue. The day after Memorial Day, the Dow Jones industrial average and the NASDAQ composite index gained more than 200 points each.
Technology and telecommunications shares led the gains. Traders bought up stocks that have been dumped in recent weeks. On the other hand, volume was light.
The NASDAQ rose 254.18 points to 3459.29, the largest percentage gain ever for the index and the second largest point gain ever. The Dow rose 228.23 points to close at 10,527.47.
In Toronto, stocks had a healthy day, too. The TSE 300 composite index jumped 3.14% to after technology stocks surged. Volume was good at 152.03 million shares traded. Advancers outpaced decliners again, 637 to 474. Unchanged issued numberd 260.
Overall, 11 of the TSE 300’s 14 sub-indices closed higher led by a 6.28% jump in the industrial products sector, which includes the tech stocks.
The CDNX also had good day, adding 23.41 to 3228.98. Advancing and declining issues came out almost even, 283 to 286. Unchanged issues stood at 549.
The Canadian dollar opened slightly lower today. The resurgent euro and impending bond maturities weighed on the currency, said currency analysts. Some cited usual month-end selling as a source of pressure on the currency. The Canadian dollar was at US66.68¢, US66.70¢ yesterday.
Look for Statistics Canada’s report on real GDP tomorrow.