Toronto, October 29, 2025 – Futures on Canada’s main stock index, the S&P/TSX composite, remained largely unchanged on Wednesday as investors adopted a cautious stance ahead of upcoming interest rate decisions from both the Bank of Canada (BoC) and the U.S. Federal Reserve (Fed).

As of early trading, December TSX futures were down 0.02% at 06:35 a.m. ET (1035 GMT). Market participants are closely watching central bank actions, with the BoC expected to cut rates by 25 basis points at 09:45 ET for the second consecutive session to support an economy under pressure from U.S. tariffs and slowing growth. Similarly, the Fed is anticipated to follow with a 25-basis-point rate reduction at 2:00 p.m. ET, providing guidance amid limited economic data following nearly a month-long U.S. government shutdown.

Market Performance and Sector Highlights

On Tuesday, the TSX composite index posted gains, led by strong performances in technology and materials stocks. The resource-heavy benchmark has surged 23% year-to-date, driven in part by a rally in gold prices, which rose over 50% this year.

On Wednesday, gold prices climbed more than 1%, bouncing back after a three-week low, while copper prices reached record highs due to production shortfalls from major mining companies. Oil prices also increased, supported by declining U.S. crude inventories and optimism surrounding upcoming talks between U.S. and Chinese leaders.

Corporate Developments

Corporate earnings also influenced market sentiment. First Quantum Minerals (FM.TO) reported third-quarter adjusted profits below analyst expectations, while UBS saw a 74% surge in net profit for the same period, exceeding market forecasts. These results reflect mixed signals for investors as the Canadian market balances commodity-driven gains with global economic uncertainties.

Trade and Geopolitical Context

In broader economic news, U.S. President Donald Trump commented that he “didn’t come to South Korea to see Canada,” reflecting ongoing trade tensions between Canada and the U.S. Meanwhile, Canadian Prime Minister Mark Carney is on his first official visit to Asia, seeking to strengthen international trade and security ties at a time when Canada is working to reduce dependence on U.S. markets.

Outlook

Investors will continue to monitor commodity prices, corporate earnings, and central bank guidance closely. The decisions from the BoC and Fed are expected to provide key signals for both the Canadian and global equity markets, as well as influence currency and bond markets in the near term.