02.10.202614:18:17UTC+00TSX Gains as Oil Rally Stalls

The S&P/TSX Composite Index climbed nearly 1% to trade around 35,500 as the recent oil rally paused, easing worries about energy-driven inflation and pulling Canadian bond yields lower. Additional support came from softer-than-expected US payroll data, which tempered expectations of a Federal Reserve rate hike this month and lifted rate-sensitive stocks.

Financials advanced, with Scotiabank gaining nearly 1%. Technology shares also moved higher, mirroring strength in the Wall Street AI trade, and Shopify added almost 2%. A modest rise in gold prices underpinned mining stocks, with Agnico Eagle and Wheaton Precious Metals (WPM) each rising more than 2%.

Meanwhile, Prime Minister Carney announced that Canada will fast-track approval of a proposed crude oil export pipeline to the West Coast, a key element of his strategy to diversify the economy away from its heavy reliance on the United States.