Markets

Canada Stocks Close Higher; Snap Three Day Losing Streak

Canada stocks closed higher snapping a three day losing streak, after trading lower for most of the session. Sectors were mixed, with Healthcare driving gains while Metals and Mining bucked the trend. Investment sentiment was hurt early by news that Canada's economic growth slowed in Q1. GDP grew at a 1.2% annualized rate in the quarter, compared with 2.7% in the previous three months.

In better economic news, Canada's deficit was down to $12.1 billion in the fiscal year ended March 31, according to preliminary government figures released Friday. This was smaller than the $16.6 billion deficit expected as recently as in February.

Metals and Mining has dragged on the broader markets most of this week, fueled by losses in Comex Gold. Gold prices fell another US$10 per ounce, generating nearly a $47 dollar per ounce loss for the week.

Support on the broader TSX is seen near the 50-day moving average at 14,496, while resistance is seen near the 41,713.

Short term momentum is turning negative as the 5-day moving average crosses below the 20-day moving average which signifies that a short term down trend is in place.

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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