Canadian stocks started September on a slightly positive note. While the TSX Composite Index didn’t post any significant gains, it settled at a record closing high near 20,821 on Friday, September 3 — up 0.1% from the previous week’s closing level. Nonetheless, it was the third consecutive week when TSX stocks continued to post gains. During these three weeks, the index has risen by nearly 1.2%. A recent recovery in metal and oil prices drove a rally in metal mining and energy stocks last week — taking the market to new heights.
Most uranium and gold mining companies’ shares rose with a notable spike in their trading volume last Friday. Here are some of the top active TSX stocks that saw a major surge in volume and remained highly volatile in the last trading session.
The daily trading volume of mining companies like Nexgen Energy, Denison Mines, Cameco, IAMGOLD, and New Gold rose sharply compared to their three-month average trading volume. While New Gold stock surged by nearly 14% on September 3, all the other mining stocks mentioned above also posted solid gains in the last trading session. Rising metal prices amid a weakening U.S. dollar could be the primary reason why these mining stocks inched up last Friday, despite a minor weakness in energy stocks for the day.
TSX futures are pointing to a higher opening on Tuesday, September 7, as the market is set to open after the Labour Day long weekend. Canadian investors can keep a close eye on energy and metal stocks today, as strong commodity prices may continue to boost investors’ confidence, despite rising COVID variant concerns.
Another rallying TSX stock that investors may want to watch closely today is BRP (TSX:DOO)(NASDAQ:DOOO). The stock has jumped by nearly 18% in the last couple of sessions. These gains in DOO stock came after the company crushed Street analysts’ earnings estimates for Q2 on September 2. With this, the stock has risen by about 50% in 2021 so far.
There are no important corporate earnings or economic events is scheduled for Tuesday. However, investors may remain cautious ahead of the Bank of Canada’s rate decision and press conference scheduled for Wednesday.