Canadian Stocks Turning In Mixed Performance After BoC Rate Cut, U.S. Inflation Data

RTTNews | 120 days ago
Canadian Stocks Turning In Mixed Performance After BoC Rate Cut, U.S. Inflation Data

(RTTNews) - Canadian stocks are turning in a mixed performance Wednesday morning with investors digesting the Bank of Canada's interest rate decision, and tamer than expected U.S. consumer price inflation data.

Worries about the U.S. Government's stance on tariffs, and the possibility of recession in the U.S., Canada and Mexico, are weighing on sentiment and limiting market's upside.

The U.S. Government's 25% tariff on all steel and aluminum imports took effect today, significantly impacting Canada, which is the largest foreign supplier of these metals to the United States.

The benchmark S&P/TSX Composite Index, which climbed to 24,378.39 earlier, was up 50.46 points or 0.21% at 24,298.66 a little while ago.

Communications, consumer discretionary and consumer staples shares are weak, while technology, real estate and energy stocks are gaining some ground in positive territory.

The Bank of Canada today announced its widely expected decision to lower interest rates by another 25 basis points, making its seventh straight rate cut.

The Bank of Canada said it decided to reduce its target for the overnight rate to 2.75%, with the Bank Rate at 3% and the deposit rate at 2.7%.

While the central bank noted Canadian economic growth has come in stronger than expected, it warned the pervasive uncertainty created by continuously changing U.S. tariff threats is restraining consumers' spending intentions and businesses' plans to hire and invest.

"Monetary policy cannot offset the impacts of a trade war," the Bank of Canada said. "What it can and must do is ensure that higher prices do not lead to ongoing inflation."

The Bank of Canada said it will be carefully assessing the timing and strength of both the downward pressures on inflation from a weaker economy and the upward pressures on inflation from higher costs.

Transcontinental Inc. shares are up 7.2%. Propel Holdings is climbing up nearly 5%.

Canfor Corporation is up 4.2% and Bombardier Inc is rising nearly 4%. NuVista Energy, ARC Resources, AutoCanada, Shopify, First Quantum Minerals, AtkinsRealis, MEG Energy, Peyto Exploration, International Petroleum, Teck Resources and Celestica are gaining 2 to 3.75%.

Labrador Iron Ore Royalty, Magna International, Restaurant Brands International, Boyd Group Services, MDA Space, Open Text Corporation, Baush + Lomb Corporation, Alimentation Couche Tard, BRP Inc., George Weston, Rogers Communications and Loblaw Companies are down 1.7 to 4%.

Data released by the Labor Department showed consumer prices in the U.S. increased by slightly less than expected in the month of February, edging up by 0.2%, after climbing by 0.5% in January. Economists had expected consumer prices to rise by 0.3%.

The report also said the annual rate of consumer price growth slowed to 2.8% in February from 3% in January. Economists had expected the pace of price growth to edge down to 2.9%.

read more
CAC 40 Down More Than 1% As Trade War Concerns Hurt Sentiment

CAC 40 Down More Than 1% As Trade War Concerns Hurt Sentiment

French stocks are notably lower on Friday, weighed down by losses in automobile and luxury sectors. The mood in the market is a bit bearish, in line with other major markets in Europe, amid renewed worries about tariffs.
RTTNews | 13 minutes ago
Walmart Recalls 850K Ozark Trail Water Bottles

Walmart Recalls 850K Ozark Trail Water Bottles

Retain giant Walmart Inc. is recalling about 850,000 Ozark Trail 64 oz Stainless Steel Insulated Water Bottles as the lid can suddenly pop off with force, causing injury, according to the U.S. Consumer Product Safety Commission. The recall includes Water Bottles sold under model number 83-662. These silver stainless-steel bottles feature a black one-piece screw-on lid.
RTTNews | 48 minutes ago
European Shares Decline As Tariff Worries Return To Haunt

European Shares Decline As Tariff Worries Return To Haunt

European stocks fell on Friday after U.S. President Donald Trump announced a 35 percent tariff on Canadian imports, starting Aug. 1, in a dramatic escalation of a trade war with the United States' closest ally over the country's alleged role in fentanyl flows.
RTTNews | 1h 55min ago
Asian Shares Mostly Lower As Trump Ups Tariff Ante

Asian Shares Mostly Lower As Trump Ups Tariff Ante

Asian shares ended mostly lower in cautious trade on Friday after U.S. President Donald Trump announced a 35 percent tariff on Canadian goods, effective August 1, 2025, and warned of a blanket tariff of 15-20 percent on most trading partners that haven't got letters yet.
RTTNews | 2h 20min ago
Yen Retreats Against Majors

Yen Retreats Against Majors

The Japanese yen weakened against other major currencies in the Asian session on Friday.
RTTNews | 2h 48min ago