Futures for Canada’s main stock index rose on Wednesday, boosted by gains in commodity prices, with investors expecting a pause in interest rate hikes by the U.S. Federal Reserve.

June futures on the index were up 0.3% at 6:50 a.m. ET.

The U.S. central bank is expected to leave interest rates unchanged at the 5%-5.25% range, for the first time since it kicked off a historically aggressive monetary policy tightening in March of 2022. The decision is due at 2:00 p.m ET.

Investors will also watch out for Fed Chair Jerome Powell’s comments post-meeting to assess the central bank’s monetary policy path.

Futures tracking U.S. stock indexes S&P 500 SPX and Nasdaq IXIC also inched higher on expectations that the Fed may not raise interest rates as it concludes its policy meeting later in the day.

The bets on a interest rate pause were primarily lifted by U.S. consumer price inflation data showing moderation in May to the slowest in more than two years, led by decreases in the costs of energy products and services, while core inflation remained sticky.

A Reuters poll of economists said the Bank of Canada will raise interest rate again in July to 5.00% after a surprise 25 basis point increase last week.

Oil and gold prices firmed as the investors awaited the Fed rate decision, while copper prices rallied to a seven-week peak, underpinned by brighter demand outlook and supply tightness in top consumer China, with a weaker dollar also lending support.

The Toronto Stock Exchange’s composite index TSX ended 0.35% higher on Tuesday, its highest closing level in a week.