People walk by a Bay Street sign inside the financial district in Toronto October 10, 2008. The Toronto Stock Exchange's main index tumbled 700 points on Friday afternoon, as commodity stocks slid along with underlying prices on deepening fears the world economy will go into recession. REUTERS/Mark Blinch Mark Blinch/Reuters
The Toronto Stock Exchange's benchmark stock index set an all-time closing high on Wednesday, six years to the day after it set the old record of 15,073 on June 18, 2008.
The S&P/TSX Composite Index closed at 15,109.25 on Wednesday, led by gold, energy and financials.
The TSX actually surpassed its previous closing high in trading on Monday, before dipping below the level by the time it closed. The same thing happened on Tuesday.
The TSX moved higher today in reaction to comments from U.S. Fed chair Janet Yellen that the U.S. will keep its accommodative rate policy.
The Canadian dollar was also stronger, gaining 0.12 of a cent to 91.17 cents US.
On Wall Street, the Dow Jones industrials gained 98.13 points to 16,906.62, the Nasdaq rose 25.61 points to 4,362.84, and the S&P 500 index added 14.99 points to 1,956.98.
In its latest policy announcement, the U.S. central bank said it will stay on track and will reduce its monthly bond buyback program by a further $10 billion to $35 billion US a month as it continues to see more signs of a strengthening economy. The stimulus has kept long-term loan rates low and propped up stock markets.
The Fed did not say when it might start raising its short-term benchmark rate, only that it plans on keeping rates low "for a considerable time" after it ends all the bond purchases.
Gold was the leading factor pushing the index higher Wednesday with a 1.77 per cent gain as August bullion rose $2 to $1,274 US an ounce. July copper was unchanged at $3.06 US a pound.
About 60 per cent of the shares on the TSX advanced Wednesday, more than outpacing decliners and those that stayed flat.
On Wednesday, the TSX went above the level and stayed there — although it's still below the intraday high of 15,154 set in June 2008.
After setting those lofty highs in the summer of 2008, the TSX soon joined equity markets in much of the world in a cataclismic fall, sparked by bad loans in the U.S. real estate sector. Within 10 months of setting that watershed high in June 2008, the TSX would lose almost half of its value.
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