With both the Bank of Canada and the U.S. Federal Reserve holding interest rates relatively steady this month, markets are treading cautiously.
But the calm may not last.
South of the border, tensions are rising between U.S. President Donald Trump and Fed Chair Jerome Powell. Trump is pushing hard for rate cuts to stimulate growth ahead of the election, while Powell remains cautious, citing inflation risks. Historically, Canada often moves in step with U.S. monetary policy, leaving Canadian investors wondering how to position their portfolios.
This article is a journalistic opinion piece which has been written based on independent research. It is intended to inform investors and should not be taken as a recommendation or financial advice.
In this uncertain environment, some companies stand out for their resilience to interest rate fluctuations. Here are three Canadian stocks that offer stability, strong fundamentals, and limited exposure to rate-driven volatility:
Andlauer Healthcare Group (TSX:AND)
Sector: Healthcare logistics
Andlauer specializes in transporting pharmaceuticals, medical devices, and other healthcare products across Canada. Its services are essential, highly regulated, and largely insulated from economic cycles. Because healthcare demand remains steady regardless of interest rates, Andlauer’s revenue base is stable. The company also benefits from long-term contracts and a strong logistics network, making it a defensive play in any rate environment. Could it be investors buying up shares before its sale to a UPS (NYSE:UPS) affiliate goes through later this year?
Andlauer stock (TSX:AND) is up 26.02 per cent since the year began.
Thomson Reuters (TSX:TRI)
Sector: Information services
Thomson Reuters provides legal, tax, and financial data services to professionals and institutions worldwide. Its subscription-based model ensures predictable, recurring revenue—an attractive feature when interest rates are in flux. The company’s tools are mission-critical for clients, meaning demand remains strong even during economic slowdowns. With a global footprint and strong cash flow, Thomson Reuters is in a stable position to weather monetary policy shifts on either side of the border.
Thomson Reuters stock (TSX:TRI) is up 24.75 per cent since the year began.
B2Gold (TSX:BTO)
Sector: Gold mining
Gold stocks often move inversely to interest rates and inflation expectations, and B2Gold is no exception. The company operates low-cost mines in Mali, Namibia, and the Philippines, and it boasts no net debt and strong free cash flow. With a dividend yield around 4.69 per cent, B2Gold offers both income and inflation protection. If rates fall, gold prices typically rise—giving B2Gold a potential tailwind. But even in a flat or rising rate environment, its efficient operations and global diversification make it a solid hold.
B2Gold stock (TSX:BTO) is up 34.09 per cent since the year began.
Bottom line:
While rate policy remains a wildcard, these three Canadian companies offer investors a measure of certainty. Whether rates rise, fall, or stay flat, these three companies are built to perform.
Join the discussion: Find out what the Bullboards are saying about Andlauer, B2Gold Corp., and Thomson Reuters, then check out Stockhouse’s stock forums and message boards.
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