The S&P/TSX Composite Index closed at another record high for the second-straight session on Wednesday, topping the 36,000 mark for the first time as gains in battery metals and base metals stocks outweighed weakness in energy shares amid lower crude oil prices.
The index closed up 344.83 points, or 1.0%, at 36,146.42, with mixed sectors. Battery Metals Index led gainers, up 9.3%, while Base Metals was up 2.7%. Energy led decliners, down 3.0%.
In commodities, WTI crude oil extended its decline on Wednesday as hopes for a de-escalation in the Iran conflict and a potential reopening of the Strait of Hormuz eased supply concerns.
The September WTI crude oil contract closed down $0.55, or 0.7%, and settled at $75.22 per barrel, while October Brent oil was last seen down $0.1, or 0.1%, at $79.3 per barrel.
Meanwhile, gold rallied, with spot gold last up 4.2%, or $171.3, at $4,249.3 per ounce, while December Comex gold futures gained 3.8%, or $156.2, to $4,308.8 per ounce.
Separately, BMO Capital Markets forecasts Canada's second-quarter GDP growth at 3.8% annualized, up from an earlier 3.0%, raising its full-year 2026 growth forecast to 1.0% from 0.8%, according to a Wednesday note. Government spending is expected to contribute to overall growth, added the bank. "This mutes the recession talk in Canada."
The Canadian government sold C$5.5 billion of two-year bonds on Wednesday, with investor demand strong as it attracted bids almost three times the amount on sale, according to data published by the Bank of Canada.
The bond's maturity is Aug.1, 2028, and the auction received C$15.0 billion in total submitted bids out of the C$5.5 billion on offer, resulting in a bid-to-cover ratio of 2.73 times.
Additionally, the federal government on Wednesday announced C$2.7 billion in funding to support the construction of thousands of rental homes in Toronto, reported CP24.
Prime Minister Mark Carney unveiled the investment alongside Housing and Infrastructure Minister Gregor Robertson and Toronto Mayor Olivia Chow.
The funding will support 18 planned rental housing projects expected to deliver more than 5,600 new homes, including nearly 2,000 affordable or deeply affordable units. Nine of the 18 developments will be built on city-owned land.
In stocks Shopify (SHOP.TO) closed up C$28.56, or 16%, to hit a six-month high of C$201.97, after it reported a second-quarter revenue beat early Wednesday.
Brookfield Asset Management (BAM.TO) closed up C$0.61, or 0.8%, to C$73.77, after reporting Q2 net income of $0.56 per diluted share from $0.38 in the previous year.