Canada's main stock index opened higher on Wednesday as hopes of a de-escalation in the U.S.-China trade war firmed, while investors awaited the Federal Reserve's interest rate decision later in the day.
The TSX Composite Index climbed 106.65 points Wednesday to 25,081.37.
The Canadian dollar deleted 0.04 cents at 72.57 cents U.S.
Prime Minister Mark Carney visited the White House on Tuesday for his first meeting with U.S. President Donald Trump and termed the discussion as constructive.
Trump told reporters the meeting was "great," noting that he and Carney got along. However, he provided no details on any potential shifts in the trade policy between the two nations.
Meanwhile, Washington announced late on Tuesday that representatives of the U.S. and China will meet over the weekend in Switzerland for talks, which could lead to the first step in resolving a trade war disrupting the global economy.
On the corporate front, Barrick Mining reported first-quarter profit above estimates, driven by a rise in gold prices. The gold giant dipped 12 cents in price to $26.41.
ON BAYSTREET
The TSX Venture Exchange inched up 1.18 points to 656.73.
All but three of the 12 subgroups were higher in the first hour of trade, led by information technology, up 1.1%, while utilities flourished 0.8%, and financials picked up 0.6%.
The three laggards were gold and energy, each down 0.6%, and materials, off 0.5%.
ON WALLSTREET
Stocks advanced Wednesday as investors monitored the latest updates on U.S. trade negotiations and looked toward the Federal Reserve interest rate announcement expected later in the day.
The Dow Jones Industrials regained 235.42 points to 41,064.42
The S&P 500 index recovered 27.36 points to 5,634.67
The NASDAQ Composite climbed 90.7 points to 17,780.36.
Disney shares popped more than 10% after the entertainment giant reported a surprise jump in streaming subscribers. The stock was among the top-performing S&P 500 stocks.
Stocks got a boost on news that U.S. Treasury Secretary Scott Bessent and top trade official Jamieson Greer would meet with their Chinese counterparts this week in Switzerland. Investors took that as a positive on the trade front after the turbulent market action following President Donald Trump’s tariff announcement last month.
That action comes as investors gear up for the Fed’s interest rate decision slated for 2 p.m. ET. Fed funds futures are pricing in a nearly 100% likelihood that the central bank holds the borrowing rate steady.
Traders will monitor Fed Chair Jerome Powell’s post-decision press conference for insights on where rates could go moving forward. It comes at a precarious moment for the central bank leader after being the target of criticism from Trump, who has said his “termination cannot come fast enough.”
Prices for the 10-year Treasury gained ground, lowering yields to 4.31% from Wednesday’s 4.31%. Treasury prices and yields move in opposite directions
Oil prices backpedaled 19 cents to $58.90 U.S. a barrel.
Prices for gold backed off $28.90 to $3,393.90 U.S.
