Updates with market close data, adds analyst quote
By Nikhil Sharma and Divya Rajagopal
Aug 13 (Reuters) - Canada's main stock index on Tuesday ended the trading day at its highest in more than a week, led by tech, consumer and financial stocks, after soft U.S. inflation data maintained hopes for a September rate cut by the Federal Reserve.
The Toronto Stock Exchange's S&P/TSX composite index .GSPTSE closed up 219.85 points, or 0.98%, at 22,618.18.
The U.S. producer prices index rose less than expected to 0.1% in July, while it moderated to 2.2% on a yearly basis, an indication that inflation pressures continued to moderate.
Analysts said they are looking forward to Wednesday's consumer price index (CPI) data in the U.S. that could indicate if a September rate cut is on the cards.
"Investors are looking at every data point to gauge whether the North American economy is slowing down, and on that economic growth rather than inflation is the biggest investor concern right ," said Elvis Picardo, senior portfolio manager with iA Private Wealth Inc.
The bump in TSX was driven by the information technology .SPTTTK and financials sector .SPTTFS, which were the top gainers, adding 2.4% and 1.39%, respectively.
Sun Life Financial SLF.TO closed at 4% after the life insurance firm beat second-quarter profit estimates, strengthening the financial sector.
The energy sector .SPTTEN closed up 0.3%, even as oil prices lost ground. O/R
Healthcare stocks .GSPTTHC also closed up 0.4%.
Data readings this week in the U.S. are in the limelight with the CPI due on Wednesday for further clues on the Fed's stand on its monetary policy.
Markets unanimously expect the Fed to lower its borrowing costs at its policy meeting on Sept. 18. Traders are evenly divided between a 25- and 50-basis-point rate cut. 0#FEDWATCH
At the end of trading day, gold miner SSR Mining SSRM.TO topped the index with a 7% gain.
"The trend of moderation in prices continues, (but we) must confirm that (on Wednesday, with the CPI). It should allow the Fed to focus on the employment side of its mandate," said Angelo Kourkafas, investment strategist at Edward Jones Investments.
(Reporting by Nikhil Sharma in Bengaluru, Divya Rajagopal in Toronto; Editing by Shreya Biswas, Vijay Kishorea and Will Dunham)