Canada's main stock index rose on Monday, lifted by technology stocks after Anthropic's IPO filing, while a pullback in oil prices and declining bond yields eased inflationary concerns and bolstered risk appetite.
The TSX climbed 219.05 points to reach noon EDT at 36,007.23
The Canadian dollar doffed 0.12 cents to 71.24 cents U.S.
Canada's benchmark index declined last week amid volatility ?in global equity markets, with a selloff in AI-linked stocks further weighing on investor sentiment ahead of rate decisions from the Fed and the ?Bank of Canada
Traders expect the Fed to keep rates on hold ?at its policy meeting next week, with a quarter-point hike priced in for December.
In Canada, the BoC ?is expected to raise its benchmark interest rate by ?25 basis points to 2.5% on Wednesday and deliver one more hike by the end of March, according to a Reuters poll of economists
Investors were also monitoring trade developments after U.S. President Donald Trump said on Sunday that he expected a trade dispute with Canada to be resolved "soon."
Among stocks, CAE rose $1.55, or 4.4%, to $36.53, after the flight simulator maker agreed to sell Flightscape, its airline operations software business, to aviation technology firm SITA in a deal valued at $500 million, including debt.
On the political front, the opposition Conservative Party won an election ?in British Columbia for the first time in nearly 100 years, provisional results showed on Sunday
ON BAYSTREET
The TSX Venture Exchange inched up 0.88 points to 821.83.
Seven of the 12 subgroups gained ground, led by gold, ahead 1.5%, materials, improving 1.4%, financials, better by 0.7%.
The five laggards were weighed most by health-care, sliding 0.4%, while consumer staples and utilities each slid 0.3%.
ON WALLSTREET
Stocks rose Monday as semiconductor makers rallied after Anthropic’s IPO filing revived enthusiasm for the AI trade.
The Dow Jones Industrials progressed 86.39 points to 52,301.55.
The S&P 500 index gained 54.18 points to 7,677.81
The tech-heavy NASDAQ popped 249.31 points to 26,204.65.
Chip stocks and other AI-related shares rose as Anthropic publicly filed for an IPO, an offering investors are betting will add new life to the flagging tech sector.
The AI company reported $16.29 billion in revenue for the six months ended June, a 1,304% increase from $1.16 billion during the same period a year earlier. It plans to list on the NASDAQ under ticker symbol “ANT.”
Other major AI headlines added to the risk-on sentiment. Meta Platforms said Monday it is planning to raise $95 billion to support its AI investments. SpaceX CEO Elon Musk said over the weekend that the satellite and rocket launch company has closed a $40-billion debt deal for AI chips.
Shares of Nvidia climbed 2.6%, Micron increased 2%, Broadcom rose 2.2% and Advanced Micro Devices edged higher by 1.1%.
Neocloud names fell again on Monday after their slide last week, after Elon Musk said more than 200 companies in the space face “guppy-level death.” A neocloud is a specialized cloud computing company that builds and rents out AI-dedicated infrastructure. Shares of
CoreWeave fell 1.7%, while Nebius Group dropped 3.7%.
Traders are awaiting the Federal Reserve’s decision on Wednesday. Fed funds futures trading suggests a 90% likelihood that policy makers will hold interest rates at the current target range of 3.75% to 4%
Prices for the 10-year Treasury was slightly higher, raising yields to 4.98% from Friday’s 5%. Treasury prices and yields move in opposite directions.
Oil prices slid 70 cents to $102.57 U.S. a barrel.
Gold prices moved upward $23.10 to $4,031.00 U.S. an ounce.
