What’s going on here?
The Toronto Stock Exchange’s S&P/TSX composite index dipped by 105.02 points or 0.44%, closing at 23,572.68 due to slumping energy shares.
What does this mean?
Investors are playing the waiting game ahead of the US Federal Reserve’s expected rate cut, which could be its first in over four years. There’s a 59% chance of a 50-basis point slash and a 41% probability of a 25-basis point cut. Wall Street’s flat performance preceding the Fed’s decision reflects caution that’s spilling over into the Toronto market. Lower US rates generally benefit gold and other commodities, which might boost Canada’s resource-heavy exchange. While the TSX has climbed 12.6% this year, fueled by three Canadian rate cuts and anticipation of US policy easing, the current slump highlights the energy sector’s 1.1% decline linked to falling oil prices. Rogers Communications’ shares also slid 2.6% after announcing a C$4.7 billion buyout of…
