At midday, stocks in Toronto were slightly above Monday’s close as investors eagerly await the Bank of Canada’s decision on interest rates, scheduled for Wednesday. Analysts are predicting another 25-basis-point boost, which has contributed to the mixed performance of sectors in the market. Healthcare and energy sectors are leading the gainers, while industrials, consumer discretionary, staples, and communication services are experiencing some declines.
The S&P/TSX Composite Index, a key benchmark for the Canadian stock market, was up by 0.16% at midday, reaching 19855.02. The blue-chip S&P/TSX 60 also saw a slight increase of 0.13%, reaching 1191.29.
In other market news, TransAlta and TransAlta Renewables announced their merger plans. TransAlta will acquire all the shares it doesn’t currently own of TransAlta Renewables. Following this announcement, TransAlta shares saw a slight increase of 0.37% to 12.28 Canadian dollars ($9.25), while TransAlta Renewables experienced a significant jump of over 18% to C$12.99.
Here are a few more notable market movers:
- MTY Food Group shares rose by 4.9% to C$64.38 after the franchiser and operator of casual dining and quick-service restaurants reported better-than-expected earnings and revenue in its fiscal second quarter. The company is also focused on integrating recent acquisitions into its business.
- New Gold reported a 45% increase in gold production for the second quarter, largely due to higher mill availability. As a result, shares were up by 7.9% at C$1.58.