By Fergal Smith
(Reuters) -Canada’s main stock index rose to its highest level in nearly two years on Friday, helped by gains for resource shares, as investors bet that the U.S. economy was headed for a soft landing despite recent hotter-than-expected inflation data.
The Toronto Stock Exchange’s S&P/TSX composite index ended up 32.92 points, or 0.2%, at 21,255.61, its highest closing level since April 2022. For the week, the index was up 1.2%, snapping a two-week losing streak.
“It does look like both sides of the border the price action points to buying on the dip,” said Elvis Picardo, portfolio manager at Luft Financial, iA Private Wealth. “The trigger for that is because the soft landing in the U.S. is very much in play.”
U.S. producer prices increased more than expected in January, giving Federal Reserve policymakers fresh validation for their wait-and-see approach to cutting interest rates. It follows hotter-than-expected U.S….
