Futures tied to Canada’s main stock index ticked higher on Wednesday as the recent surge in global bond yields paused. The halt in the rally, which had driven yields to multi-year highs, offered some respite to credit-sensitive sectors such as banks. However, stronger-than-expected U.S. CPI data kept pressure on lenders amid ongoing uncertainty over the Federal Reserve’s policy path.
In commodities, oil prices extended their advance, lending support to energy producers, while weaker gold prices dragged on mining shares. On the domestic data front, Canadian building permits jumped 8.8% in August from July, far exceeding expectations for a 2.9% gain.