FX.co ★ TSX Futures Gain on Softer Canadian Inflation

Futures linked to the S&P/TSX Composite Index edged higher on Monday after the release of June’s inflation data. Canada’s annual inflation rate slowed to 2.8% in June 2026 from 3.2% in May, coming in just below expectations of 2.9%. Gasoline prices rose at a more moderate pace, while the Bank of Canada’s preferred core inflation measures fell to their lowest levels in more than five years. This reinforced the BoC’s assessment that the impact of higher energy costs, stemming from the Middle East oil supply crisis, is not spilling over broadly into the wider economy. Canadian government bond yields declined following the data, providing support to financial stocks and the broader index. At the same time, oil prices remained elevated amid rising tensions between the US and Iran and reduced shipping traffic through the Strait of Hormuz, while gold prices edged lower.