FX.co ★ TSX Set to Renew Record High

On Thursday, the S&P/TSX Composite saw a modest increase of approximately 0.2%, surpassing the 30,150 mark, primarily driven by gains in the materials sector. Investors were positioning themselves in anticipation of further monetary easing from the Bank of Canada. Notably, Teck Resources, First Quantum Minerals, and Ivanhoe Mines experienced significant upswings, with each company rising by over 1%, 2%, and 3% respectively, as copper prices continued their upward momentum. Further signaling potential future rate reductions, the Bank of Canada, after lowering the policy rate to 2.50% on September 17th, indicated in their Summary of Deliberations a readiness to cut rates further should downside risks remain. This sentiment was bolstered by data showing weaker domestic economic activity, evidenced by S&P Global’s Canada Manufacturing PMI, which fell to 47.7 in September. This marks the eighth consecutive month of contraction and underscores the slowing pace of new orders and production output.