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TSX Rallies Ahead of Bank of Canada Decision

Published 2023-07-11, 02:01 p/m
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By Ketki Saxena

Investing.com -- The TSX rallied on Tuesday, ahead of upcoming U.S. inflation data and a Bank of Canada (BoC) decision regarding monetary policy. Markets are currently pricing in a 25 basis point hike by the BoC to 5% - largely expected to be the Canadian central bank's terminal rate.

The commodity-heavy Canadian index was also supported by gains in crude as the dollar weakened and as the EIA forecast tightness in H2 2023 driven by strong demand from China and other developing countries, combined with supply cuts from Saudia Arabia and Russia. 

The Biggest Stories on Bay Street

The federal government has granted a 2-week extension for RBC (TSX:RY)'s proposed $13.5-billion acquisition of HSBC Canada. The government has extended the deadline after a technical issue resulted in lost submissions vis-a-vis the public consultation around the del. 

Nutrien (TSX:NTR) Ltd. announced its decision to reduce production at its Cory potash mine due to ongoing port worker strikes in Vancouver. The company warned if such work stoppages persist; it could potentially disrupt production at its other Saskatchewan-based potash mines.

TransAlta Corp (TSX:TA) has announced that it will reclaim its minority stake in TransAlta Renewables Inc (TSX:RNW) for all the shares it does not yet own, reversing its previous 2013 spin-off decision. The total consideration projected for acquiring the remaining 40 percent stake amounts to approximately $1.38 billion. 

Canadian Stocks Moving Markets Today

Top Gainers:

  • TransAlta Renewables Inc. (TSX:RNW)
  • Ballard (TSX:BLDP)
  • Athabasca Oil (TSX:ATH)

Top Losers:

  • Gfl Environmental Holdings Inc (TSX:GFL)
  • Fortuna Silver (TSX:FVI)
  • OceanaGold (TSX:OGC)

In Canadian Economics 

No major Canadian economic data expected

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