Canada Stocks: TSX rises as geopolitical tensions ease

Colliers International

03/08/2022 15:30

* Pelosi leaves Taiwan, eases U.S.-China worries  
    * Canadian payrolls data awaited later in the week
    * Colliers gains after raising FY forecast 

 (Adds comments, updates prices throughout)
    By Shreyashi Sanyal and Johann M. Cherian
    Aug 3 (Reuters) - Canada's main stock index rose on
Wednesday as geopolitical worries eased after U.S. House of
Representatives Speaker Nancy Pelosi left Taiwan, following a
visit which infuriated China. 
    Pelosi pledged solidarity and hailed Taiwan's democracy,
leaving a trail of Chinese anger over her brief visit to the
self-ruled island that Beijing claims as its own.  urn:newsml:reuters.com:*:nL1N2ZF06C  
  
    "People are getting a little more comfortable that we
haven't really seen anything overnight coming out of China and
Taiwan," said Greg Taylor, portfolio manager at Purpose
Investments in Toronto, Ontario.
    "There is some optimism there and maybe a bit of a room for
a bounce off some of the selling we got yesterday afternoon."
    At 10:15 a.m. ET (1415 GMT), the Toronto Stock Exchange's
S&P/TSX composite index  .GSPTSE  was up 53.03 points, or 0.27%,
at 19,558.36. The energy sector  .SPTTEN  dropped 0.4%, while
financials  .SPTTFS  gained 0.5% 
    Geopolitical tensions knocked down Canadian stocks on
Tuesday, with Wall Street also ending lower.               
    Britain's competition regulator said that Canadian
cloud-based software firm Dye & Durham  DND.TO  should sell
UK-based TM Group after its investigation identified competition
concerns. Shares of Dye & Durham rose 3%. urn:newsml:reuters.com:*:nL4N2ZF26P
    Colliers International Group Inc  CIGI.TO  rose 3.7% after
the company raised its full year forecast for 2022 as a result
of recent acquisitions.  urn:newsml:reuters.com:*:nGNX22KkBR
    Market participants will also be watching for payrolls data
from both Canada and the United States on Friday for hints on
the strength of the labor market and how their respective
central banks will react to rising inflation and a stalling
economy.
    Data on Tuesday showed that Canadian manufacturing activity
lost further momentum in July, as production and new orders
declined for the first time since the early stages of the
coronavirus pandemic.  urn:newsml:reuters.com:*:nZON00605V 
    U.S. stocks also rose on Wednesday after strong results from
PayPal  PYPL.O  and CVS Health  CVS.N , and as an unexpected
pick up in U.S. services industry in July eased recession
worries.  .N 

 (Reporting by Shreyashi Sanyal and Johann M. Cherian in
Bengaluru; Editing by Shailesh Kuber)
 ((Shreyashi.Sanyal@thomsonreuters.com; +1 646 223 8780; +91 961
144 3740; Twitter: https://twitter.com/s_shreyashi;))