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Canadian Stocks Modestly Higher On Oil Prices, Earnings News

The Canadian stock market is modestly higher Tuesday morning, led by gains in energy, consumer discretionary and information technology sections, amid a fairly positive mood thanks to some upbeat earnings news from the U.S.

Meanwhile, investors are awaiting Bank of Canada's interest rate decision tomorrow. It is widely expected that the bank will keep interest rate unchanged. The bank's outlook for the Canadian economy is likely to provide directional clues to the market.

The benchmark S&P/TSX Composite Index rose to a new high at 16,627.85 and is currently up 40.45 points, or 0.24%, at 16,617.73.

On Monday, the index ended down 35.53 points, or 0.21%, at 16,577.28,

In the energy space, Encana Corporation (ECA.TO) is gaining 2.7%, Imperial Oil (IMO.TO) is rising 1.4%, PrairieSky Royalty (PSK.TO) is up 1.5% and Parex Resources (PXT.TO) is advancing 2%.

Athabasca Oil Corporation (ATH.TO) is gaining 3.75% and Suncor Energy (SU.TO) is up 1%.

Teck Resources (TECK.B.TO) reported adjusted earnings of $568 million or 99 cents per diluted share in the March quarter, down from an adjusted profit of $753 million or $1.29 per diluted share in the same quarter last year. The stock is up 1.7%.

In the materials space, Lundin Mining Corporation (LUN.TO), B2Gold Corp. (BTO.TO) and Barrick Gold Corporation (ABX.TO) are down in negative territory, while Kinross Gold Corporation (K.TO) is modestly higher.

Among consumer discretionary stocks, Dollarama (DOL.TO) is up 3.5%, Restaurant Brands International (QSR.TO) is moving up 1.4%, Canada Goose Holdings Inc. (GOOS.TO) is gaining 3.2% and BRP Inc. (DOO.TO) is up 1.8%.

Information technology stocks Shopify Inc. (SHOP.TO), Constellation Software (CSU.TO), Open Text Corporation (OTEX.TO) and Descartes Systems Group (DSG.TO) are up 0.6 to 1%.

In the financial space, Royal Bank of Canada (RY.TO), Bank of Montreal (BMO.TO) and Canadian Imperial Bank of Commerce (CM.TO) are up 0.4 to 0.7%.

In the Healthcare Index, Aurora Cannabis (ACB.TO) and Hexo Corp. (HEXO.TO) are weak, while Canopy Growth Corporation (WEED.TO) and Aphria Inc. (APHA.TO) are modestly higher.

U.S. stocks are modestly higher after a steady start thanks to upbeat earnings from some big-name companies, including Dow components United Technologies (UTX) and Coca-Cola (KO), and an unexpected jump in new home sales in March.

Twitter (TWTR), Procter & Gamble (PG) and Verizon (VZ) also reported better than expected earnings.

After staying mixed early on in the day, European stocks gained in some strength thanks to earnings news from the U.S.

Asian markets mostly ended higher on Tuesday.

In commodities, crude oil futures for June are up $0.95, or 1.5%, at $66.50 a barrel.

Gold futures for June are down $7.10, or 0.56%, at $1,270.50 an ounce.

Silver futures for May are declining $0.245, or 1.65%, at $14.730 an ounce, while Copper futures for May are down $0.020, or 0.69%, at $2.8815 per pound.

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