TSX Rises After BoC Holds Rates Steady

The S&P/TSX Composite Index rose 0.3% to close at 35,416 on Wednesday as investors digested the Bank of Canada’s latest interest rate decision. The BoC left its key policy rate unchanged at 2.25%, in line with expectations, and noted that the economy is showing signs of improvement. The bank said growth is strengthening and projected inflation to gradually ease from its recent spike. Even so, it underscored substantial risks and uncertainties related to the conflict in the Middle East and US trade policy. Financials led the advance, with RBC up 1.6%, TD Bank gaining 1.4%, BMO adding 1.3%, and CIBC climbing 1.7%. In contrast, mining stocks trimmed earlier gains, with Agnico Eagle down 1.3% and Barrick off 1.6%. Shopify (-1.8%), Constellation Software (-2%), and Celestica (-2.9%) mirrored weakness in US technology shares. Elsewhere, Cogeco Communications (+1.3%) is scheduled to report its third-quarter results after the market close.