Canada's main stock index rose on Wednesday as oil prices and bond yields paused after a recent surge, while investors braced for a widely anticipated interest-rate hike from the U.S. Federal Reserve.
The TSX gained 158.83 points mid-Wednesday at 35,740.90.
The Canadian dollar fell 0.04 cents to 71.77 cents.
In company news, Dollarama rose $6.10, or 3.7%, to $171.60, after the discount retailer raised its annual comparable sales growth forecast after stronger customer traffic from budget-conscious shoppers boosted second-quarter sales.
European Commission President Ursula von der Leyen said the ?European Union is opening the door for Canada to become its first "associate member," a status that is not set out in the bloc's treaties.
The EU and Canada will work together across sectors including manufacturing, AI, critical minerals and energy, ?she said.
Prime Minister Mark Carney's trip follows a historic breakdown in Canada-U.S. relations after trade talks collapsed last month, sparking a series of tit-for-tat tariff measures.
On the economic lineup, total monthly housing starts decreased 5% in August to 229,000 from July's 229,400.
In July, building permits decreased by 17.3%.
ON BAYSTREET
The TSX Venture Exchange regained 1.32 points to 902.30.
All but two of the 12 subgroups were in the green as morning became afternoon Wednesday.
Consumer discretionary stocks gained 1.7%, while utilities picked up 1.6%, and health-care prospered 1%.
The lone laggards were energy, hanging back 2.8%, and telecoms settled 0.3%.
ON WALLSTREET
The S&P 500 rose on Wednesday ahead of a pivotal interest rate decision from the Federal Reserve that could mark the beginning of a new hiking cycle over the next few months.
The Dow Jones Industrials dipped 42.93 points to 52,050.18.
The much-broader index regained 27.51 points to 7,613.24.
The NASDAQ Composite recovered 192.38 points to 26,173.95. Chipmakers were among those offering a boost to the market during the session. Shares of Intel and SK Hynix gained 4% and 2%, respectively, after Reuters reported that the two are in talks to manufacture SK
Hynix’s memory chips in the U.S. Other chip stocks such as Advanced Micro Devices and Nvidia saw gains as well.
Costco Wholesale is likely to bounce back, even as consumers continue to show sensitivity to rising prices, according to Bank of America.
Futures markets were pricing in a quarter-point hike for Wednesday with 92.9% odds. Odds of an additional quarter-point hike were 39.1% for the Fed’s October meeting and 26.4% for the Fed’s December meeting.
Prices for the 10-year Treasury gained, lowering yields to 4.96% from Wednesday’s 5%. Treasury prices and yields move in opposite directions.
Oil prices sank $4.11 to $101.72 U.S. a barrel.
Gold prices gained $56.40 to $4,389.20 U.S. an ounce.
