Canada Stocks: TSX rises on energy shares; Fed commentary in focus

Ballard Power Systems

18/06/2024 16:16

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      Ballard Power up on technology partnership with Vertiv
    

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      TSX up 0.3%, its first daily gain in four 
    

  
 (Updated at 10:31 a.m. ET/ 1431 GMT)
    By Nikhil Sharma
       June 18 (Reuters) - Canada's main stock index rose on
Tuesday, boosted by gains in energy shares, while investors
parsed through U.S. retail sales data and Federal Reserve
officials' commentary.
    At 10:31 a.m. ET (1431 GMT), S&P/TSX  .GSPTSE  was up 61.88
points, or 0.3%, at 21649.65. The Toronto Stock Exchange's
composite index gained after three straight sessions of losses,
though it hovered around a two-month low it hit last week. 
    Energy shares  .SPTTEN  rose 2.2% to lead sectoral gains as
oil prices  LCOc1   CLc1  firmed, with markets awaiting signs of
a summer demand boost even as strong supply threatened to blunt
gains.  O/R 
    The materials sector  .GSPTTMT  climbed 0.5% as gold prices
appreciated.  GOL/ 
    Information technology shares  .SPTTTK  slipped 0.6%, while
communications services  .GSPTTTS  stocks lost 0.5%. 
    Over on Wall Street, equities traded cautiously as investors
digested a softer-than-expected U.S. retail sales reading and
focused on Fed commentary expected throughout the day.  .N 
    The Bank of Canada cut its interest rates earlier this
month, but noted further easing would be gradual and dependent
on data. On the contrary, U.S. Fed has maintained a hawkish
stance on monetary policy, indicating only one rate cut later
this year.  
    "Officials will be looking for further evidence and data
that supports that disinflationary narrative over the coming
months before making any move to lower borrowing costs," said
Candice Bangsund, vice president and portfolio manager, global
asset allocation at Fiera Capital Corporation.
    Among individual stocks, Ballard Power Systems  BLPD.TO 
jumped 9.1% after the fuel cell manufacturer announced a
technology partnership with packaging firm Vertiv  VRT.N .
    

 (Reporting by Nikhil Sharma and Shashwat Chauhan in Bengaluru;
Editing by Shreya Biswas)
 ((Nikhil.Sharma@thomsonreuters.com;))