TSX REBOUNDS FROM FOUR-WEEK LOW AS MINING SHARES RALLY
By Fergal Smith
TORONTO, Sept 2 (Reuters) - Canada's main stock index rose on Wednesday, led by gains for financial and metal mining shares, as the Bank of Canada remained patient on hiking interest rates.
The S&P/TSX Composite Index ended up 265.88 points, or 0.7%, at 36,091.61, ending a three-day losing streak that had resulted in the index posting on Tuesday its lowest closing level in four weeks.
• U.S. stock indexes also recouped some recent declines as investors cautiously dipped back into equities despite renewed clashes in the Middle East.
• The Bank of Canada left its benchmark interest rate unchanged at 2.25%, as widely expected, but said the risks to inflation had grown while new U.S. tariffs made growth prospects more uncertain.
• "Policymakers will be patient as they assess how those risks evolve," Benjamin Reitzes, Canadian rates and macro strategist at BMO Capital Markets, said in a note.
• Investors expect the central bank to remain on hold at the next policy decision in October but have fully priced in a quarter-point rate hike by the end of the year, swap market data showed.
• The materials group, which includes metal mining shares, rose 2.2%. Gold bounced from a near one-month low as the U.S. dollar and Treasury yields retreated from recent highs.
• Consumer discretionary added 1.4%, led by a 2.9% rise in the shares of auto parts supplier Magna International. Heavily weighted financials ended 1.5% higher.
• Five of the 10 major sectors ended lower, including energy. It lost 1.1% even as U.S. crude oil futures settled 0.9% higher at $91.01 a barrel, driven by renewed military strikes between the U.S. and Iran that have restricted world oil supply.
• Technology was also a drag, falling 1.5%, with shares of electronic equipment company Celestica down 5.6%.
(Reporting by Fergal Smith in Toronto and Purvi Agarwal and Darshan Kumar in Bengaluru; Editing by Shreya Biswas and Chris Reese)
2026-09-02T21:17:58Z
