The S&P/TSX Composite Index rose for the fourth straight session to close at a new record high on Wednesday, supported by broad-based gains across most sectors and a sharp rise in Air Canada shares.
The index closed up 186.22 points, or 0.5%, at 36,662.14, with most sectors closing higher. Financials led gainers, up 1.1%, while Information Technology and energy sectors were up 0.4% each. Base Metals closed down 0.4%.
The Battery Metals Index, which includes companies listed on both the TSX and TSX Venture Exchange, jumped 1.4%.
In commodities, West Texas Intermediate (WTI) and Brent crude were mixed as stalled US-Iran talks and continued attacks on ships in the Middle East kept concerns about oil supply disruptions in focus.
September WTI crude oil contract settled up $0.07, or 0.1%, at $83.27 per barrel, while October Brent oil was last seen down $0.16, or 0.2%, at $88.75 per barrel.
Meanwhile, December Comex gold futures gained 0.7%, or $31.40, to $4,472.50 per ounce.
In currencies, the US dollar edged higher 0.1% against the Canadian dollar at 1.3943 at last look.
Separately, Canada's building permits rebounded sharply in June, with the total value rising C$2.3 billion, or 18.5% month over month, to C$14.9 billion. This more than reversed declines in April and May, Statistics Canada said in its latest report. The rise seen in June was much higher than the 0.8% monthly gain expected in a Bloomberg survey.
In the debt market, Canada's latest five-year government bond auction drew solid demand, with C$5 billion sold at an average yield of 3.344% against C$13.9 billion in competitive bids, resulting in a 2.78 times coverage ratio, according to data on the Bank of Canada.
Accepted yields ranged from 3.343% to 3.345%, with distributors receiving 51.9% of the bonds and customers 48.1%, according to the BoC's website.
Meanwhile, the proposed 50% US tariff on certain Canadian goods, which could take effect next Wednesday, is raising significant concerns among small exporters, according to new research from the Canadian Federation of Independent Business released Wednesday.
Two in five surveyed Canadian exporters said their products would be hit by the tariffs, while 77% of affected firms expect revenues to fall if they come into effect. More than a third anticipate a decline of at least 50%.
In stocks, Air Canada (AC.TO) shares jumped 12.3% to reach C$30.61 per share, its highest level in more than six years. This rally came after the company reported second-quarter earnings and said its frequent flyer program Aeroplan will receive a C$2.5 billion minority equity investment from funds managed by Blackstone, La Caisse and other Canadian institutions.