Canadian Market Digests Rate Hike Move, Looks Set To End On Firm Note

(RTTNews) - The Canadian market remains firmly up in positive territory Wednesday afternoon and looks on course to end the session on a firm note.

Energy and materials shares are notably higher, tracking firm commodity prices. Several stocks from technology, healthcare, industrials and real estate sectors are also up with strong gains.

As widely expected, the Bank of Canada today hiked interest rates by 50 basis points to 1% to combat rising inflation. It is the biggest single hike by the central bank in two decades.

The bank also said that it would allow government bonds it bought during the pandemic to roll off as they mature, beginning what is known as quantitative tightening.

The benchmark S&P/TSX Composite Index, which climbed to 21,888.76, is up 134.06 points or 0.62% at 21,849.47.

The Information Technology Capped Index is up 2.3%. Tecsys Inc (TCS.TO) is climbing 4.3% and Hut 8 Mining Corp (HUT.TO) is surging up 4.1%. Constellation Software (CSU.TO), Lightspeed Commerce (LSPD.TO), Converge Technology Solutions (CTS.TO), Nuvei Corp (NVEI.TO), Magnet Forensics (MAGT.TO), Shopify Inc (SHOP.TO) and Docebo Inc (DCBO.TO) are gaining 2.5 to 4%.

Among energy stocks, Headwater Exploration Inc (HWX.TO), Birchcliff Energy (BIR.TO), Vermilion Energy (VET.TO), MEG Energy (MEG.TO), Enerplus Corp (ERF.TO), Crescent Point Energy (CPG.TO), Tourmaline Oil Corp (TOU.TO), Secure Energy (SES.TO) and Whitecap Resources (WCP.TO) are up 3.5 to 5.3%.

In the materials section, Ero Copper (ERO.TO) is soaring more than 7%. Osisko Mining (OSK.TO) is gaining 6.75%. Teck Resources (TECK.B.TO), Endeavour Silver Corp (EDR.TO), Silvercrest Metals (SIL.TO), Hudbay Minerals (HBM.TO), Ivanhoe Mines (IVN.TO), K92 Mining Inc (KNT.TO) and Ssr Mining Inc (SSRM.TO) are up 4 to 6%.

Canopy Growth Corp (WEED.TO), up 3.7%, is the top gainer in the Healthcare Index. Aurora Cannabis (ACB.TO) and Tilray Inc (TLRY.TO) are gaining 3% and 2.5%, respectively. Well Health Technologies (WELL.TO) is up nearly 2%.