CANADA STOCKS-Financial stocks lift TSX to another record high

By Sanchayaita Roy

May 28 (Reuters) - Canada's main stock index eclipsed the previous session's record high on Wednesday, as heavyweight financial shares rose after positive results from the National Bank of Canada and the Bank of Montreal.

The Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 0.13% at 26,302.66 points. It had closed on record highs in the previous two sessions.

The heavyweight financial subindex .SPTTFS was up 0.3%, led by a gain of 9.2% in insurer Definity Financial Corporation's DFY.TO shares. Definity said it agreed a C$3.3 billion ($2.39 billion) cash deal to acquire all but the surety unit of Travelers Canada.

Bank of Montreal BMO.TO gained 1.8% after Canada's third largest lender beat analysts' profit estimates in the second-quarter.

National Bank of Canada NA.TO also gained 4.4% after it reported a rise in second-quarter profit.

But the information and technology .SPTTTK subindex slipped 0.7% ahead of tech giant Nvidia's results later in the day.

Nvidia NVDA.O is expected to report a 66.2% surge in first-quarter revenue, according to data compiled by LSEG; investors will be scrutinizing the AI bellwether's spending.

Canada's main index has gained 5.9% so far in May and was set for its best month in six, as easing trade concerns boosted sentiment.

Markets have been optimistic this week after U.S. President Donald Trump delayed tariffs on the EU until July 9.

"We might be past the peak uncertainty on the U.S. trade war," said Douglas Porter, chief economist at BMO Capital Markets.

"We're going to be in a wait-and-see mode today. The markets maybe a bit cautious because we've seen bond yields nudge up a little in Canada and U.S."

Canadian government 10-year bond yields CA10YT=RR rose 4.5 basis points to 3.302%. The yield on similar U.S. government benchmark debt also rose.

($1 = 1.3818 Canadian dollars)