Canada Stocks: TSX climbs as tame US inflation data trims Fed rate hike bets

Trekor Metals

14/07/2026 16:27

Mining, financials shares climb
US consumer inflation slowed more than expected in June
BoC expected to hold rates steady on Wednesday
By Sudeshna Ghoshal

    July 14 (Reuters) - 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 Toronto Stock Exchange's S&P/TSX Composite Index .GSPTSE rose 0.4% to 35,401.5 points by 10:49 am ET.
The materials sector .GSPTTMT, which includes metal miners, gained 2.2% as metal prices jumped against a weaker dollar. 
Trekor Metals TKO.TO advanced 8.8%, leading gains in the main index, while First Quantum Minerals FM.TO and Hudbay Minerals HBM.TO were up 6.9% and 7%, respectively.
Traders pared back some expectations of Fed interest rate hikes after data showed U.S. consumer inflation slowed more than expected in June as energy prices retreated. 
Heavyweight financials .SPTTFS rose 0.8%; lenders TD Bank TD.TO, Royal Bank of Canada RY.TO and Bank of Nova Scotia BNS.TO inched up around 1% each. 
U.S. big banks posted strong earnings in the second quarter.
On the downside, communications .GSPTTTS lost 1.2%, with Rogers Communications RCIb.TO down 1.7%; consumer staples .GSPTTCS shed 1.1%. 
Thomson Reuters TRI.TO fell 2.7%, Shopify SHOP.TO lost 0.8% and OpenText OTEX.TO lost 3.5% amid global weakness in the software sector as U.S. firm IBM IBM.N warned the AI boom is squeezing budgets. 
Meanwhile, the Bank of Canada is expected to keep its key policy rate unchanged at 2.25% on Wednesday. 
"People will be looking to see what kind of a reaction do we get in terms of any commentary from the Bank of Canada regarding inflation," said Colin Cieszynski, chief market strategist at SIA Wealth Management.
Separately, Reuters reported on Monday that Canada's federal banking regulator warned the country's largest financial institutions about the risks of Anthropic's Claude Mythos and other advanced AI models. 



 (Reporting by Sudeshna Ghoshal in Bengaluru; Editing by Sahal Muhammed)
 ((Sudeshna.Ghoshal@thomsonreuters.com;))