Futures tracking the TSX rose on Thursday, supported by a rally in gold prices that boosted mining stocks. Gold rebounded as the recent surge in oil prices lost momentum, easing some inflationary pressures.
The shift in oil markets came after reports that Saudi Arabia plans to restore roughly half of its East–West pipeline capacity within days and return it to full operation within six weeks. The slowdown in the oil rally also benefited credit-sensitive stocks, as reduced inflation concerns helped pull bond yields lower.
Meanwhile, the US Federal Reserve raised interest rates, and projections from FOMC members in the Summary of Economic Projections suggested another hike could be warranted later this year. Fed Chair Kevin Warsh noted that inflation remains elevated, echoing data released last week showing that core US inflation in August rose more than expected.
