Canada's main stock index gained on Tuesday, led by materials and financials, as a softer-than-anticipated U.S. inflation reading tempered bets of a hawkish Federal Reserve and boosted risk appetite.
The TSX perked 170.47 points to open Tuesday at 35,423,19.
The Canadian dollar was ahead 0.43 cents to 71.10 cents U.S.
U.S. military carried out a third consecutive ?night of strikes against Iran on Monday as President ?Donald Trump reimposed a blockade of Iranian shipping and proposed a 20% fee to guard the Strait of Hormuz.
In ?company news, material technology company Mattr Corp said late on Monday it expects second-quarter ?revenue in the range of $390 million to $400 million. Mattr shares popped $3.16, or 22.7%, to $17.08.
Trekor Metals advanced 86 cents, or 8.6%, to $10.82, leading gains in the main index, while First Quantum Minerals took on $24.40, or 6.8%, to $38.41 and Hudbay Minerals was up $1.94, or 6.6% to $31.54.
Among financials, TD Bank climbed $1.72, or 1%, to $172.41, Royal Bank of Canada hiked $2.56 to $300.42, and Bank of Nova Scotia inched up 75 cents to $125.22.
On the downside, Rogers Communications lost 81 cents, or 1.7% to $46.43, Thomson Reuters dipped $3.84, or 2.9%, to $129.35, Shopify lost $1.62 to $174.95, and OpenText lost $1.39, or 4.2%, to $31.96. amid global weakness in the software sector.
Separately, Canada's federal banking regulator warned major financial institutions about risks associated with Anthropic's Claude Mythos and other advanced AI models, ?saying the new technology could shorten time to identify, mitigate and respond to vulnerabilities.
ON BAYSTREET
The TSX Venture Exchange poked ahead 8.93 points, or 1%, to 890.21
Eight of the 12 subgroups were lower, with energy off 1.4%, while consumer discretionary and consumer staples each lost 1.2%.
The four gainers were led by materials, up 1.8%, gold, better 1.4%, and financials, richer by 0.7%.
ON WALLSTREET
The S&P 500 rose on Tuesday after June inflation data came in weaker than expected, though the index’s gain was kept in check as traders assessed rising oil prices and a slew of corporate earnings releases.
The Dow Jones Industrials lost 88.8 points to 52,409.84.
The S&P 500 index acquired 22.83 points to 7,538.17.
The NASDAQ Composite regained 2-6.71 points to 26,079.89
Shares of International Business Machines weighed on the 30-stock index, with the stock down 25% after the company warned second-quarter profits will be lower than expected due to soft demand in its software and infrastructure businesses.
Applied Materials and Teradyne gained more than 3%, and Lam Research moved up 4%. Micron Technology increased more than 2%. STMicroelectronics added more than 1%.
Goldman Sachs led notable bank stocks higher, popping 8% after the bank posted an earnings beat. Big banks JPMorgan Chase and Bank of America released their Q2 results as well, with both seeing a gain of more than 1%.
The consumer price index in June fell 0.4% on the month, bringing the annual inflation rate to 3.5%. Economists polled by Dow Jones had called for a 0.2% decline last month and expected the inflation rate to come in at 3.8%.
With easing inflation, expectations that the Federal Reserve would hike interest rates this year reduced following the release.
Semiconductor stocks offered a boost to equities, as they rebounded after a selloff in the previous session.
Applied Materials gained more than 3%, and Teradyne and Lam Research moved up 5%. Micron Technology increased more than 4%. STMicroelectronics added more than 2%.
Gains were also kept in check by a 24% drop in shares of International Business Machines after the company warned second-quarter profits will be lower than expected due to soft demand in its software and infrastructure businesses.
Prices for the 10-year Treasury hiked, lowering yields to 4.59% from Monday’s 4.62%. Treasury prices and yields move in opposite directions.
Oil prices jumped $1.45 to $79.59 U.S. a barrel.
Gold prices rumbled ahead $72.40 to $4,078.10 U.S. an ounce.
