CANADA STOCKS-Miners lift Canada's TSX after Fed rate hike eases inflation fears

By Reuters News14:32 (UTC), 17 September 2026 Updated

By Darshan Kumar R

Sept 17 (Reuters) - Canada's main stock index advanced on Thursday, boosted by mining stocks tracking higher precious metal prices, while the US Federal Reserve's reaffirmed focus on fighting inflation lifted broader risk appetite.

The Toronto Stock Exchange's S&P/TSX Composite Index .GSPTSE was up 0.9% at 35,809.81 at 10:11 a.m. ET (1411 GMT), poised for its biggest one-day jump in two weeks.

The material sector .GSTPPMT, which houses Canadian miners, led gains with a 3.2% rise, on track for its biggest one-day jump since August 19.
Gold prices rose more than 2%, rebounding from a near six-week low, while copper prices also rallied. GOL/ MET/L
Discovery Mining DSV.TO and AbraSilver Resource ABRA.TO were the top gainers, rising 8.6% and 9%, respectively, while Barrick Mining ABX.TO was up 3%.
The Fed on Wednesday delivered its first interest rate hike in three years, and signaled more in the coming months, as it reiterated its stance on battling inflation.
Analysts flagged a global relief rally, with Mark Malek, CIO at Siebert Financial, saying, "The market's first tentative vote that a Fed willing to be the bad guy now is preferable to one that loses control of inflation later."
Oil prices dropped 3% to one-week lows as Saudi Arabia's cargoes calmed supply concerns, though prices remained above $100 a barrel. O/R
"Brent crude...gave the market a reason to think inflation pressure might ease from at least one direction," added Malek.
Consumer discretionary stocks .GSPTTCD were the only losers on the TSX, down 0.3%.
Separately, data showed producer prices in Canada rose 1.3% in August from the previous month.
Bank of Canada Governor Tiff Macklem said on Wednesday inflation is likely to remain elevated in the near term and reiterated the central bank's readiness to raise rates if price pressures persist.