(RTTNews) – Despite coming off early highs, the Canadian market remains firmly placed in positive territory around late morning trades on Wednesday, supported by strong gains in the materials sector. Real estate, communications and consumer discretionary stocks are among the other prominent gainers.
Shares from the financial sector are reeling under selling pressure.
The Trump administration’s decision to temporarily halt new tariffs on a number of Canadian goods lifted sentiment this morning. On Tuesday, President Donald Trump said, “I have paused the 50% Tariffs against Canada, that were scheduled to kick in tomorrow morning for a three day period, based on the fact that Canada and the U.S.A., subject to the finalization of documents, have a DEAL!”
The U.S. and Canadian Prime Minister Mark Carney have reportedly reached a tentative framework agreement. Negotiators are currently utilizing the 72-hour window to finalize the legal text and documentation.
Meanwhile, investors await the release of the minutes from the Federal Reserve’s most recent monetary policy meeting for clues about the central bank’s likely interest rate moves in the coming months.
The benchmark S&P/TSX Composite Index, which climbed to 36,737.37 earlier, was up 137.07 points or 0.38% at 36,505.00 a little while ago.
Materials stocks are up, riding on firm precious metals prices. The Materials Capped Index is up 6.75%. Endeavour Silver Corp, Aris Mining Corporation, Fortuna Mining, Novagold, Discovery Mining, First Majestic Silver and Avino Silver & Gold Mines are up 10%-13%.
Kinross Gold, Equinox Gold, Lundin Gold, Ssr Mining, Aya Gold & Silver, Wheaton Precious Metals, I80 Gold Corp, OceanaGold, Alamos Gold, Agnico Eagle Mines and Wesdome Gold Mines are rising more than 9%.
Real estate stocks Colliers International Group, FirstService Corporation and Altus Group are up 4.5%, 2.5% and 2.2%, respectively.
Communications stocks Telus Corporation and Rogers Communications are moving up 2.7% and 1.5%, respectively.
In the consumer discretionary sector, Restaurant Brands International is up 1.3% and Canadian Tire Corporation is gaining 1.1%, while Magna International and Dollarama are up by about 1%.
The Financials Capped Index is down more than 2%. Bank of Montreal, Canadian Imperial Bank of Commerce, Toronto-Dominion Bank, Royal Bank of Canada and Bank of Nova Scotia are down 2.5%-4%.
