Global capital markets bounced back as the U.S. election resulted in a divided government suggesting there’s less likelihood of significant tax hikes or increased regulations for the time being. Government bond yields fell sharply immediately after the election then partially recovered following stronger-than-expected U.S. employment data. Gold and oil prices strengthened.
The S&P/TSX Composite Index strengthened buoyed by double-digit gains in health-care and technology; all sectors advanced except for energy. The Canadian unemployment rate edged lower to 8.9% in October, a 0.1% improvement from the previous month, according to Statistics Canada.
The S&P 500 Index strengthened also buoyed by robust gains in technology and health-care; all sectors advanced sharply. The U.S. unemployment fell sharply to 6.9% in October, beating consensus forecasts, as employers added nearly 640,000 jobs.
The MSCI EAFE Index strengthened buoyed by health-care, industrials, and technology; all sectors advanced sharply. All major equity markets across Europe and Asia strengthened