By Fergal Smith
(Reuters) – Canada’s main stock index edged lower on Wednesday as a drop in gold prices weighed on mining shares and after the Bank of Canada left its policy rate on hold, with the index retreating after it touched its highest intraday level in twenty months.
The Toronto Stock Exchange’s S&P/TSX composite index fell 8.81 points to 21,025.78, after four consecutive days of gains. Earlier in the session, it touched its highest level since May 2022.
The Bank of Canada held its benchmark interest rate at a 22-year high of 5%, saying that while underlying inflation was still a concern, the bank’s focus is shifting to when to cut borrowing costs rather than whether to hike again.
“While the Bank continued to highlight ongoing concern about the risk to the outlook for inflation, the Bank reinforced the more dovish tone struck in December,” said Kathrin Forrest, an equity investment specialist at Capital Group.
The TSX has a high…
