Canada's main stock index opened higher on Wednesday, helped by materials shares, as investor sentiments were buoyed by strong U.S. corporate earnings despite uncertainty over trade tariffs.
The TSX gained 51.95 points to begin Wednesday at 25,333.58.
The Canadian dollar descended 0.18 cents at 69.55 cents U.S.
U.S. President Donald Trump has vowed to impose tariffs on imports from China, Mexico, Canada and the European Union on Feb. 1.
Wednesday, Statistics Canada reported its industrial product price index rose 0.2% month over month in December and increased 4.1% year over year, while its raw material price index grew 1.3% on a monthly basis last month and increased 9.1% year over year.
Markets are now pricing in an 85% probability of a 25 basis-point rate cut at the central bank's meeting next Wednesday.
ON BAYSTREET
The TSX Venture Exchange hesitated 0.08 points to 614.09.
Seven of the 12 TSX subgroups were lower during the first hour Wednesday, as health-care settled 1.1%, while communications and real-estate each shed 0.4%.
The five gainers were led by information technology, up 1.4%, consumer staples, prospering 0.7%, and energy, better by 0.3%.
ON WALLSTREET
Stocks climbed on Wednesday, with the S&P 500 nearing an all-time high again, as technology shares such as Oracle and Nvidia rallied on artificial intelligence optimism, while Netflix and Procter & Gamble gained after strong quarterly results.
The Dow Jones Industrials moved forward 136.76 points to begin Wednesday at 44,162.57.
The much broader index took on 39.25 points to 6,088. 49
The NASDAQ Composite popped 248.94 points, or 1.3%, to 20,005.72
Netflix shares soared 12% after the company surpassed 300 million paid memberships. It’s fourth-quarter earnings and revenue also topped analyst expectations. The streamer’s results got a boost from hit series “Squid Game” and live sporting events such as the Jake Paul and Mike Tyson boxing match.
Oracle shares jumped 5% and Nvidia climbed about 3% as investors continued to pile into the AI trade following an announcement from the new White House. President Donald Trump announced a joint venture dubbed “Stargate” on Tuesday, with OpenAI, Oracle and Softbank to invest ?$500 billion, at least” in AI infrastructure within the United States. Oracle rose 7% on Tuesday on the news.
Stocks were higher even after President Donald Trump said Tuesday he’s considering a 10% tariff on China beginning as soon as Feb. 1. That comes after he mulled levies on Canada and Mexico earlier in the week.
Prices for the 10-year Treasury slipped, raising yields to 4.57% from Tuesday’s 4.56%. Treasury prices and yields move in opposite directions.
Oil prices declined 43 cents to $75.40 U.S. a barrel.
Prices for gold gained $3.10 an ounce to $2,762.30 U.S.
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