The S&P/TSX Composite Index edged higher on Monday as gains in healthcare, telecom and industrial stocks offset weakness in base metals, while investors assessed steady Canadian inflation and rising oil prices amid escalating Middle East tensions.
The index closed up a slight 5.04 points, or 0.01%, at 35,702.53. Healthcare led advancers, up 2.0%, followed by the telecom and industrial sectors that closed up 1.3% and 1.0%, respectively. Shares in base metals and utilities closed down 2.5% and 0.6%, respectively.
In commodities, West Texas Intermediate (WTI) and Brent crude rose as escalating fighting in the Middle East and the shutdown of Saudi Arabia's key East-West oil pipeline heightened concerns about global supplies.
October WTI crude oil contract settled up $1.34, or 1.3%, at $101.39 per barrel, while November Brent oil was last seen up $1.52, or 1.5%, at $106.13 per barrel.
Meanwhile, December Comex gold futures dropped 1.8%, or $77.90, to $4,331.00 per ounce at last look.
In currencies, the US dollar edged up 0.2% against the Canadian dollar, to CA$1.3902 at last look.
In economic news, Canada's consumer price index held at 3% annualized in August, unchanged from July, while it declined 0.1% monthly on a non-seasonally adjusted basis, Statistics Canada said Monday.
Slower gasoline price growth offered some relief, with prices up 22.8% annually in August versus 25.7% in July, Statistics Canada wrote in a statement. Excluding gasoline, however, CPI inflation accelerated to 2.4% annually from 2.2%.
In the banking sector, the Toronto-Dominion Bank (TD.TO) plans to allot CA$150 billion over the next five years to drive new lending, underwriting, advisory and other financing activities linked to boosting Canada's economy.
In a similar move, Scotiabank (BNS.TO) launched the Scotia Growth Institute, which it said will help advance long-term economic growth and competitiveness in Canada and across North America. Scotiabank also committed over CA$100 billion in financing, underwriting, and investment to be available over the next five years, to support Canadian companies and projects in key sectors, it said Monday.
To boost the agricultural economy, the Canadian government launched the CA$1 billion Agri-food Project Finance Fund to address financing gaps, support food-sector infrastructure and technology, and expand domestic processing capacity.
In corporate news, Enbridge (ENB.TO) said it raised CA$3 billion in its offering of 44.7 million shares. Proceeds will be used to partially fund acquisitions, and may also be used to pay down debt, a statement added.