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TSX Ends On Buoyant Note As Technology, Energy Stocks Rally

The Canadian stock market ended on a buoyant note on Wednesday, led by gains in information technology, energy and industrial sections.

There were strong gains for several stocks from consumer discretionary and real estate sectors as well. Healthcare stocks declined on profit taking. Materials shares slid as well.

Some better-than-expected earnings reports, and higher crude oil prices contributed significantly to market's sharp rise.

The benchmark S&P/TSX Composite Index ended with a gain of 173.34 points or 1.08% at 16,294.66 after hitting a high of 16,317.89.

The Capped Information Technology Index surged up 3.33%. Shopify Inc. (SHOP.TO) gained more than 7% after the company said its second-quarter revenue rose 97% to $714.3 million from a year earlier, beating expectations.

Celestica Inc. (CLS.TO) soared 11.4%. The company reported second-quarter net income of $13.3 million, after reporting a loss in the same period a year earlier. On a per-share basis, Celestica posted a profit of 10 cents in the second-quarter.

Photon Control (PHO.TO), CGI Group (GIB.A.TO) and Kinaxis Inc. (KXS.TO) gained 4.6 to 7.2%. BlackBerry (BB.TO) moved up 3.85%, while Absolute Software (ABT.TO) and Descartes Systems Group (DSG.TO) gained 2.4% and 2.2%, respectively.

In the energy section, Seven Generations Energy (VII.TO) zoomed more than 8%, Arc Resources (ARX.TO), gained 4.35%, Imperial Oil (IMO.TO), Parex Resources (PXT.TO), Prairiesky Royalty (PSK.TO), Tourmaline Oil Corp (TOU.TO), MEG Energy (MEG.TO) and Canadian Natural Resources (CNQ.TO) gained about 2.2 to 3%.

Among industrial stocks, Transcontinental Inc. (TCL.A.TO), Tfi International (TFII.TO), WSP Global (WSP.TO), Russel Metals (RUS.TO), Canadian National Railway (CNR.TO) and Ritchie Bros Auctioneers (RBA.TO) gained 2 to 3.4%.

Consumer discretionary stocks Martinrea International (MRE.TO), Linamar Corp (LNR.TO), Gildan Activewear (GIL.TO), Canadian Tire Corporation (CTC.A.TO) and Restaurant Brands International (QSR.TO) gained 2 to 5%.

Healthcare stock Aphria Inc. (APHA.TO) plunged 18.7% after the company reported a net loss of 39 Canadian cents a share, or 29 cents. That was much more than an expected loss of 4 cents per share.

Aurora Cannabis (ACB.TO) lost 8.8%, Canopy Growth Corp (WEED.TO) lost 5.2% and Cronos Group (CRON.TO) declined 4.8%.

Among materials shares, Oceanagold Corp (OGC.TO) slid 7.3%. Barrick Gold Corp (ABX.TO), Agnico Eagle Mines (AEM.TO), Ssr Mining (SSRM.TO) and MAG Silver Corp (MAG.TO) lost 2 to 3%.

U.S. stocks closed higher driven largely by some encouraging earnings news and the Federal Reserve's comments that interest rates will remain near-zero levels amid the hardship imposed by the coronavirus pandemic.

The Fed also reiterated that it remains committed to using its full range of tools to support the U.S. economy in this challenging time.

The Dow climbed 0.6%, the Nasdaq surged up 1.4% and the S&P 500 jumped 1.2%.

The major European markets turned in a mixed performance. Asian stocks also closed on a mixed note.

In commodities, West Texas Intermediate Crude oil futures for September ended up $0.23 or about 0.6% at $41.27 a barrel.

Gold futures for August gained $8.80 or about 0.5% to settle at $1,953.40 an ounce.

Silver futures for September advanced $0.021 to $24.321 an ounce, while Copper futures for September settled at $2.9190 per pound, gaining $0.0015 for the session.

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