Canada's main stock index opened higher on Tuesday, with materials and energy sectors leading gains, as softer U.S. inflation data tempered expectations of a hawkish Federal Reserve.
The TSX perked 170.47 points to open Tuesday at 35,423,19.
The Canadian dollar was ahead 0.43 cents to 71.10 cents U.S.
U.S. military carried out a third consecutive ?night of strikes against Iran on Monday as President ?Donald Trump reimposed a blockade of Iranian shipping and proposed a 20% fee to guard the Strait of Hormuz.
In ?company news, material technology company Mattr Corp said late on Monday it expects second-quarter ?revenue in the range of $390 million to $400 million. Mattr shares popped $3.16, or 22.7%, to $17.08.
Separately, Canada's federal banking regulator warned major financial institutions about risks associated with Anthropic's Claude Mythos and other advanced AI models, ?saying the new technology could shorten time to identify, mitigate and respond to vulnerabilities.
ON BAYSTREET
The TSX Venture Exchange poked ahead 13.81 points, or 1.6%, to 895.09
Eight of the 12 subgroups were lower, with information technology sinking 1.4%, consumer staples down 1.3%, and telecoms going south 1.2%.
The four gainers were led by gold and materials, each shining 3.1% brighter, while financials peaked higher 0.4%.
ON WALLSTREET
The S&P 500 rose on Tuesday after June inflation data came in weaker than expected, though the index’s gain was kept in check as traders assessed rising oil prices and a slew of corporate earnings releases.
The Dow Jones Industrials reversed and gained 79.41 points to 52,578.05.
The much broader index acquired 14.48 points to 7,529.82.
The NASDAQ Composite regained 107.72 points to 25,980.90
The consumer price index in June fell 0.4% on the month, bringing the annual inflation rate to 3.5%. Economists polled by Dow Jones had called for a 0.2% decline last month and expected the inflation rate to come in at 3.8%.
With easing inflation, expectations that the Federal Reserve would hike interest rates this year reduced following the release.
Semiconductor stocks offered a boost to equities, as they rebounded after a selloff in the previous session.
Applied Materials gained more than 3%, and Teradyne and Lam Research moved up 5%. Micron Technology increased more than 4%. STMicroelectronics added more than 2%.
Gains were also kept in check by a 24% drop in shares of International Business Machines after the company warned second-quarter profits will be lower than expected due to soft demand in its software and infrastructure businesses.
Prices for the 10-year Treasury hiked, lowering yields to 4.57% from Monday’s 4.62%. Treasury prices and yields move in opposite directions.
Oil prices jumped $1.74 to $79.90 U.S. a barrel.
Gold prices rumbled ahead $75.70 to $4,081.40 U.S. an ounce.
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