A trader works on the floor of the New York Stock Exchange, Tuesday, April 22, 2025. (AP Photo/Richard Drew)
REDTORONTO - Canada's main stock index and U.S. markets pared back earlier gains but still ended the day up as investors took in the latest comments from U.S. President Donald Trump and the White House.
Trump said late Tuesday he would not attempt to fire the head of the U.S. Federal Reserve, after previously calling Jerome Powell a "major loser" because the Fed hasn't been cutting interest rates.聽
As well, U.S. Treasury Secretary Scott Bessent commented that he expects a "de-escalation" in the trade war with China.
"There is an opportunity for a big deal here,鈥 he said.聽
Markets rallied earlier in the day, buoyed by optimism that the U.S. and China could ramp down their trade dispute, said Anish Chopra, managing director with Portfolio Management Corp.
鈥淭he market was concerned about an escalating trade war, and I think the news from the White House has certainly alleviated investor concern on that,鈥 he said.聽
Investors were also likely relieved to hear Trump step back his rhetoric on Powell and the central bank.聽
鈥淚nvestors would be concerned about disruptions to monetary policy,鈥 said Chopra.聽
However, the stock rally faded into the day. 鈥淚 think even though comments made by President Trump and by the White House were market-friendly, there's really no specific actions or timelines behind that,鈥 he said.聽
鈥淎s the market started to digest the news, the rally started to fade.鈥
The S&P/TSX composite index closed up 166.70 points at 24,472.68.
In New York, the Dow Jones industrial average was up 419.59 points at 39,606.57. The S&P 500 index was up 88.10 points at 5,375.86, while the Nasdaq composite was up 407.63 points at 16,708.05.
Recently, the market has really been driven by news out of the White House, said Chopra.聽
Several companies reported positive earnings reports Wednesday, Chopra noted. Meanwhile, though Tesla's earnings Tuesday evening disappointed investors, the company saw its stock price rise Wednesday after CEO Elon Musk said he will spend less time in Washington.聽
鈥淚 think investors were really concerned at the amount of time that Elon Musk was spending on the Department of Government Efficiency,鈥 said Chopra.聽
鈥淜nowing that Elon Musk will be spending less time on government issues and more time at Tesla, I think has helped calm the nerves of Tesla investors.鈥
The 好色tv dollar traded for 72.09 cents US compared with 72.32 cents US on Tuesday.聽
The June crude oil contract was down US$1.40 at US$62.27 per barrel and the June natural gas contract was up two cents US at US$3.16 per mmBTU.
The June gold contract was down US$125.30 at US$3,294.10 an ounce and the May copper contract was down four cents US at US$4.84 a pound.
-- With files from The Associated Press
This report by 好色tvwas first published April 23, 2025.
Companies in this story: (TSX:GSPTSE, TSX:CADUSD)聽
The 好色tv Press. All rights reserved.
It鈥檚 a little-known fact that Canada鈥檚 credit unions are among the country鈥檚 stron…
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