(Updates with morning prices)

By Sanchayaita Roy

May 20 (Reuters) - Canada's main stock index rose to a

record high on Tuesday, led by gains in metal mining shares, as

investors parsed the country's mixed inflation data while

awaiting trade developments.

The Toronto Stock Exchange's S&P/TSX composite index

was up 0.48% at 26,095.67 points. The index had closed

on record highs in the previous two sessions.

Data released on Tuesday showed that Canada's annual

inflation rate eased to 1.7% in April as energy prices dropped

sharply after the removal of a federal consumer carbon tax, but

core inflation edged up.

Two of the three core inflation measures, which are closely

watched by the Bank of Canada, hit 13-month highs.

Later on Tuesday, finance leaders from the Group of Seven

industrialized democracies will meet in Canada. They will strive

for unity on non-tariff issues, but may have trouble reaching

consensus with a Trump administration intent on pushing allies

to serve U.S. interests.

"All eyes are on the G7 this week ... Obviously we saw the

U.S.-China deal easing some global tensions, I think that the

framework might be in place this week when the G7 meets for some

favorable results to ease all the trade fears," said Michael

Constantino, CEO of online investment platform Webull Canada.

"As we've seen over the last couple months, the U.S. has

negotiated 60 plus deals ... so I believe that trend will

continue and each country will look out for themselves."

On TSX, mining stocks rose nearly 2% on Tuesday

after gold prices increased slightly.

But the energy subindex fell 0.5% as oil prices

steadied due to uncertainty in U.S.-Iran negotiations and

Russia-Ukraine peace talks.

Information and technology stocks fell 1%, with

bitcoin miner Bitfarms ( BITF ) leading declines in the

subindex with a 3.8% drop.