At 9:38 a.m. ET (1338 GMT), the Toronto Stock Exchange's S&P/TSX Composite index was up 49.35 points, or 0.3pc, at 16,568.23.

A speeding autos sector and hopes for even lower borrowing costs buoyed world stocks on Tuesday.

Eight of the index's 11 major sectors were higher.

The energy sector climbed 0.4pc as US crude prices were up 0.2pc, while Brent crude added 0.1pc.

The financials sector gained 0.4pc. The industrials sector rose 0.1pc.

However, the International Monetary Fund lowered its forecast for global growth this year and the next, warning that more US-China tariffs, auto tariffs or a disorderly Brexit could further slow growth, weaken investment and disrupt supply chains.

On the TSX, 156 issues were higher, while 71 issues declined for a 2.20-to-1 ratio favouring gainers, with 9.66 million shares traded.

The largest percentage gainers on the TSX were Canfor Corp , which jumped 5.3pc, followed by shares of Interfor Corp , which rose 3.3pc.

SNC Lavalin fell 4.7pc, the most on the TSX, followed by those of Semafo Inc, which fell 3pc.

The most heavily traded shares by volume were Nemaska Lithium Inc, Royal Nickel and Erdene Resource Development.

The TSX posted nine new 52-week highs and one new low.

Across all Canadian issues there were 35 new 52-week highs and four new lows, with total volume of 21.87 million shares.