It was an upbeat start to the week for Canada’s main stock index thanks to a mostly broad rally led by resources stocks as gold and oil prices rose. The TSX climbed to its highest level in three weeks as investors raised bets around a U.S. Federal Reserve rate cut after last’s week soft payrolls data.
Data from the London Stock Exchange’s rate probability app dictated that traders are pricing in rate cuts worth 48 basis points from the Fed by the end of the year, with the first cut predicted for either September or November.
The Canadian dollar traded for 73.14 cents compared with 73.09 cents U.S. on Friday.
U.S. crude futures traded $0.43 higher at $78.54 a barrel, and the Brent contract added $0.74 to $83.35 a barrel.
The price of gold was up US$30.32 to US$2,324.29.
In world markets, the Nikkei remained at 38,236.07, the Hang Seng was up 102.38 points to 18,578.30, the FTSE remained at 8,213.49, and the DAX was up 173.61 points to 18,175.21.
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