As investors processed remarks made by Fed Chair Powell at the Cato Institute conference, the S&P/TSX Composite Index rose 172 points, or 0.9%, to 19,413 on Thursday, reaching its highest level since August 30. This increase extended a 0.8% rise in the previous session with help from financial stocks that are sensitive to interest rates.
The Chairman reaffirmed past statements that borrowing prices in the US will climb to considerably bring down inflation. The Bank of Canada raised its benchmark rate by 75 basis points yesterday, making it the highest it has been in 14 years while also indicating that it will keep tightening in upcoming sessions.
With oil prices rising, energy stocks increased 0.9%, recovering from yesterday’s decline. Now, attention will shift to the Friday jobs report. According to historical data, the Canada Stock Market Index (TSX) peaked in April 2022 at 22213.07. Data for the Canada Stock Market Index (TSX) By the conclusion of this quarter, the Canada Stock Market Index (TSX) is anticipated to be trading at 18806.42 points.