Canadian Stocks Show Strong Move Back To The Upside

(RTTNews) - Following the sharp pullback seen during Thursday's session, Canadian stocks showed a strong move back to the upside early in the session.

The benchmark S&P/TSX Composite Index moved higher early in the session and climbed even more firmly into positive territory as the day progressed before closing up 572.93 points or 2.5 percent at 23,587.80.

The index partly offset the 3.0 percent plunge seen in the previous session and jumped by 1.7 percent for the week due largely to the spike on Wednesday.

The rebound on Bay Street came as concerns about rising trade tensions between the U.S. and China were partly offset by comments from White House press secretary Karoline Leavitt saying President Donald Trump is "optimistic" about reaching a trade deal with China.

"The president has made it very clear he's open to a deal with China," Leavitt told reporters. "If China continues to retaliate, it's not good for China."

However, two senior White House officials told CNN that the U.S. will not reach out to China first and that Chinese President Xi Jinping must request a call with Trump.

China has also announced plans to increase tariffs on U.S. imports to 125 percent beginning Saturday, continuing the tit-for-tat exchange on trade seen in recent days.

Gold stocks helped lead the market higher amid a spike by the price of the precious metal, with the S&P/TSX Global Gold Index soaring by 5.4 percent.

A sharp increase by the price of crude oil also contributed to significant strength among energy stocks, with the S&P/TSX Capped Energy Index surging by 3.0 percent.

Consumer, industrial and financial stocks also showed strong moves to the upside, moving higher along with most of the other major sectors.