Equities in Canada’s largest centre moved into the green on Tuesday, though off its highs of the day, as the data showing U.S. consumer prices rose moderately in May boosted bets on interest rate pause by the Federal Reserve, while gains in energy stocks added to the sentiment.
The TSX was positive 69.09 points to close Tuesday at 19,990.40.
The Canadian dollar picked up 0.29 cents to 75.11 cents U.S.
Energy supplied the upward mobility for the market in Toronto, with Advantage Oil and Gas gaining 30 cents, or 4.1%, to $7.62, while Vermilion Energy acquired 37 cents, or 2.4%, to $16.04.
In financials, CI Financial increased 38 cents, or 2.6%, to $15.03, while EQB jumped $1.69, or 2.5%, to $68.70.
Cogeco led communications stocks, picking up $1.30, or 2%, to $67.30, while Quebecor vaulted 38 cents, or 1.2%, to $33.01.
Gold stocks went the other way, however, with Centerra Gold plummeting 37 cents, or 4.4%, to $7.97, while B2Gold faded 18 cents, or 3.5%, to $4.93.
Utilities were also negative, Brookfield Renewable Partners handing over $2.49, or 5.9%, to $39.79, while Canadian Utilities lost 49 cents, or 1.4%, to $35.32.
In techs, Enghouse Systems slid $2.09, or 5.6%, to $35.11, while Converge Technology Solutions caved 16 cents, or 4.7%, to $3.25.
ON BAYSTREET
The TSX Venture Exchange was positive 2.51 points to 616.76.
All but three of the 12 TSX subgroups were positive on the day, led by energy, moving ahead 1.4%, financials, richer 1%, and communications, improving 0.9%.
The three laggards were gold, sliding 1.1%, utilities, falling 1%, information technology, scaling back 0.9%.
ON WALLSTREET
Stocks rose Tuesday after new inflation data showed price pressures slowed again in May, adding to investor optimism that the Federal Reserve could skip a rate hike when it next decides on policy this week.
The Dow Jones Industrials perked 145.79 points to conclude Tuesday at 34,212.12.
The S&P 500 soared 30.08 points to 4,369.01.
The NASDAQ index added 111.40 points to 13,573.32.
Oracle shares jumped 0.4% after topping Wall Street’s estimates for the fiscal fourth quarter. Shares of streaming giant Netflix climbed 2.9%.
A report Tuesday showed that the consumer price index in May increased 4% year over year, marking the slowest annual rate since March 2021. Following the report, traders increased their bets that the Fed will keep rates unchanged on Wednesday after hiking at 10 consecutive meetings. The latest odds gave a 99% chance the central bank would keep rates at the current target rate of 5% to 5.25%.
Prices for the 10-year Treasury plunged, raising yields to 3.83% from Monday’s 3.74%. Treasury prices and yields move in opposite directions.
Oil prices regrouped $2.05 to $69.17 U.S. a barrel.
Gold prices stumbled $14.30 to $1,955.40 U.S. an ounce.