TSX slips ahead of Canada inflation data, Fed conference
At 9:55 a.m. ET (1355 GMT), the Toronto Stock Exchange's S&P/TSX composite index (.GSPTSE), opens new tab was down 0.17% at 27,858.27 points.
The U.S. Federal Reserve's annual economic policy symposium in Jackson Hole, Wyoming, starts on Friday, which investors will watch for clues on monetary policy.
"There are a lot of expectations that the Fed coming out of this meeting will end up taking a more supportive approach," said Shiraz Ahmed, founder & CEO of Sartorial Wealth Inc.
"A lot of investors are just in a wait-and-see pattern at the moment."
According to the CME Group's FedWatch tool, traders are pricing in an 85.1% likelihood for a September interest rate cut.
Investors will also watch out for Tuesday's Canadian inflation data for July. A Reuters poll of economists expects the annual rate to have slowed to 1.8% last month.
Any decline in the domestic inflation rate could prompt the Bank of Canada to slash rates. The central bank at its last policy meeting suggested it will cut if the economy weakens and inflation stays contained.
Later in the day, U.S. President Donald Trump will meet Ukrainian President Volodymyr Zelenskiy and European leaders after Trump's dialogue with Russian President Vladimir Putin on Friday failed to produce a peace agreement.
TSX's energy index (.SPTTEN), opens new tab led losses on Monday, down 0.8%, hurt by lower crude prices ahead of the Trump-Zelenskiy meeting. Materials (.GSPTTMT), opens new tab lost 0.6%.
Capped communications (.GSPTTTS), opens new tab and consumer staples (.GSPTTCS), opens new tab capped overall losses, gaining 0.9% and 0.5%, respectively.
Air Canada (AC.TO), opens new tab fell 2.6% after suspending third-quarter and annual profit forecasts as its planes remained grounded after striking flight attendants defied a return-to-work order.
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