By Fergal Smith
(Reuters) -Canada’s main stock index rose on Thursday, with financials and industrials among the sectors leading the way in a possible positive sign for the economy after it was held back by higher borrowing costs in 2023.
The Toronto Stock Exchange’s S&P/TSX composite index ended up 52.77 points, or 0.3%, at 20,871.35, posting its first higher close since the start of the new year.
It posted declines on Tuesday and Wednesday as investors grew cautious about the timing of possible interest rate cuts from the U.S. Federal Reserve.
“The market’s done extremely well in November and December – been very overbought for a number of weeks,” said Mike Archibald, a portfolio manager at AGF Investments. “At any point in time we’re looking for some kind of consolidation and maybe a bit of a pullback.”
Activity in Canada’s service sector deteriorated for a seventh consecutive month in December as elevated borrowing costs weighed on…
