TSX Extends Rally Post FOMC Statement, Up 188 Points; Utilities, Miners In The Lead
The TSX added to gains it had prior to the release of the minutes of the Federal Open Market Committee meeting and was ahead by as much as 188 points or 1.5% 10 minutes after the statement.
As expected, the bank has decided to raise the target for the federal funds rate to a range of 0.25% - 0.5% but plans to make gradual future adjustments, depending on the condition of the job market and the inflation . The bank said inflation has continued to run below its 2% target due to declines in energy prices and in prices of non-energy imports. Furthermore, the bank noted that the U.S. labor market showed further improvement, with ongoing job gains and declining unemployment.
The mining and utility sectors led the broad-based climb advancing 4.1% and 2.8%, respectively. Financials were up 1.1%. Energy, the sole group in the red, pared its earlier losses to 0.6% despite the continuous decline in oil prices .
Total volume traded already exceeded 275 million shares. First Quantum Minerals (FM.TO) was the most actively traded stock.
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