Canadian shares positive start due to global cues

What happened: Canadian markets started the week positively, driven by global cues. On Monday, the S&P/TSX Composite Index reached a new record high, buoyed by strong gains in materials and technology sectors. This upswing was attributed to hopes of a U.S.-Iran agreement and a tentative U.S.-U.K. trade deal. Energy stocks also rallied as Brent Crude futures dropped below $100 per barrel. On Wednesday, the TSX advanced further, tracking higher crude oil prices and positive global markets. The Bank of Canada was expected to cut interest rates, which could have influenced investor sentiment.

Market impact: Materials and energy sectors were the primary beneficiaries, with stocks like Cenovus Energy and Agnico Eagle Mines gaining traction. The broader market also participated in the rally, with the S&P/TSX Composite Index closing at 33,981.82 on Monday, up 1.24%. The positive mood was sustained throughout the week, with the index ending Friday up 0.8%.

What to watch next: Investors should monitor the Bank of Canada's interest rate decision on Wednesday, which could provide direction for the market. Additionally, corporate earnings, particularly from Air Canada and other major players, will be closely watched for their potential impact on sector-specific movements. Lastly, economic data releases, such as the Canadian inflation rate due on Tuesday, could also influence market sentiment.