Energy Stocks Contribute To Modest Strength On Bay Street

(RTTNews) - Following the weakness seen in the previous session, Canadian stocks showed a modest move to the upside during trading on Wednesday.

The benchmark S&P/TSX Composite Index fluctuated over the course of the session but maintained a positive bias before closing up 69.29 points or 0.3 percent at 20,275.27.

The higher close on Bay Street partly reflected strength in the energy sector, with the S&P/TSX Capped Energy Index jumping by 1.1 percent.

Energy stocks moved higher along with the price of crude oil, as crude for September delivery surged $1.48 to $84.40 a barrel.

Consumer staples, industrial and utilities stocks also saw notable strength, while healthcare stocks moved sharply lower, dragging the S&P.TSX Capped Health Care Index down by 2.5 percent.

Overall trading was somewhat subdued, however, as traders remained cautious ahead of the release of a key report on consumer price inflation on Thursday.

Traders will be looking for the report to reinforce expectations that the Federal Reserve will leave interest rates unchanged next month.

CME Group's FedWatch Tool is currently indicating an 86.5 percent chance the Fed will leave rates unchanged in September.