S&P/TSX Composite Index

TSX Closer: Index Ends Lower as Telecom Weakness Offsets Gains in Battery Metals, Energy

The S&P/TSX Composite Index edged lower on Friday as a sharp decline in Telus weighed on telecom stocks, offsetting gains in battery metals and energy shares, while investors digested stronger-than-expected Canadian GDP data and corporate earnings.The index closed down 279.70 points, or 0.8%, at 35,226.14, with mixed sectors. The Battery Metals Index led gainers, up 4%, while energy was up 0.6%. Telecom led decliners, down 3.5%.In commodities, West Texas Intermediate (WTI) crude oil rose on Friday as ongoing tensions in the Middle East and concerns over potential supply disruptions through the Strait of Hormuz supported prices.WTI crude oil contract closed up $1.08, or 1.3%, and settled at $84.67 per barrel, while September Brent oil was last seen up $1.07, or 1.2%, at $90.20 per barrel.Meanwhile, spot gold was last seen down $56.01, or 1.4%, at $4,047.40 per ounce. Comex gold futures for December declined 1.23%, or $51.00, to $4,109.60 per ounce.Canada's real gross domestic product rose 0.3% in May for a second straight month, with preliminary data pointing to a further 0.2% monthly increase in June, Statistics Canada said Friday.May's GDP expansion was higher than a 0.2% monthly advance in a survey compiled by Bloomberg.Goods-producing industries led the growth, expanding 0.6% monthly as most sectors within the category improved. Service industries increased 0.2%, driven mainly by gains in real estate and rental and leasing, along with public administration.Overall, 13 of 20 industries posted increases in May, pointing to a broad-based economic expansion, added StatsCan. With the advance estimate for June, GDP points to a growth of 0.8% in the second quarter of 2026, according to the agency. The gains came after two successive quarters of negative growth for Canada's economy that had been deemed in a technical recession.In stocks, Telus (T.TO) closed down 11.3% at C$13.38 on Friday after reporting its second-quarter adjusted earnings fell 27% to C$0.16 per share.Telus also declared a quarterly dividend of C$0.1875 per share, which it described as a "reset" of 55% to an annualized C$0.75 per share, from the previous C$1.6736 per share. The cut is expected to generate C$2.7 billion in cumulative cash savings through 2028, which will be used to pay down debt.Meanwhile Enbridge (ENB.TO, ENB) closed down C$1.40 at C$76.28 after reporting second-quarter adjusted earnings per share at C$0.63 compared with C$0.65 a year earlier.

S&P/TSX Composite Index Lower at Midday With Telecommunications, Led by Telus, The Worst Performer

The S&P/TSX Composite Index fell 112 points at midday on Friday with the telecommunications stocks the worst performer.The telecommunications sector is down 3.1%. Telus (T.TO) shares fell 11% to a near 14-year low of C$13.41, with 28 million shares being traded.The company, which reported a second-quarter earnings miss this morning, also slashed its dividend by 55% and ended its dividend reinvestment plan discount program.The financials and industrials sectors were the outperformers at midday, gaining 0.73% and 0.78%, respectively.In economic news, Canada's gross domestic product grew 0.3% in May, said Statistics Canada on Friday. The manufacturing sector also posted a 0.3% increase, which National Bank economists Matthieu Arseneau and Alexandra Ducharme described in a note as "encouraging given that it follows a 0.7% increase in April." The agency provided a flash estimate pointing to 0.2% growth in June.

Update: Canada's GDP Expands Higher Than Expected in May as June Preliminary GDP Seen Continuing Growth

(Adds background and comment in the final four paragraphs.)Canada's real gross domestic product rose in May for a second straight month, with preliminary data pointing to a further increase in June, Statistics Canada said on Friday.Real GDP added 0.3% monthly in May, while the preliminary figure indicated a 0.2% month-over-month increase in June, according to a StatsCan statement.May's GDP expansion was higher than a 0.2% monthly advance in a survey compiled by Bloomberg.Goods-producing industries led the growth, expanding 0.6% monthly as most sectors within the category improved. Service industries increased 0.2%, driven mainly by gains in real estate and rental and leasing, along with public administration.For the second straight month, the mining, quarrying, and oil and natural gas extraction sector was the main driver of economic growth.Overall, 13 of 20 industries posted increases in May, pointing to a broad-based economic expansion, added StatsCan.With the advance estimate for June, GDP points to a growth of 0.8% in the second quarter of 2026, according to the agency.The gains came after two successive quarters of negative growth for Canada's economy that had been deemed in a technical recession. However Friday's report set aside fears of a slowing economy amid constant US tariff threats."After all the collective angst about a possible technical recession just a few months ago, it's now clear that the underlying economy is still grinding ahead, with GDP up 1.7% from year-ago levels -- just shy of its 20-year average growth," Douglas Porter, chief economist at BMO Capital Markets wrote in a note.Porter characterized the rise as a well-rounded gain, supported by consumer spending as Canada hosted its first FIFA World Cup matches. While high energy prices continue to boost inflation, the Bank of Canada is unlikely to need to soon raise rates to slow rising prices."As a result of today's sturdy readings, we are revising our Q2 growth estimate to 3.0%, and the full-year estimate up a tick to 0.8%. For the Bank of Canada, this will provide them with a bit more evidence that the economy is adapting to the trade uncertainty, and will trim their estimate of slack. But it likely won't change the bigger picture concerns of fresh tariff threats and lofty energy prices -- we still see the Bank on hold this year," Porter wrote.

Canada's GDP Expands Higher Than Expected in May as June Preliminary GDP Seen Continuing Growth

Canada's real gross domestic product rose in May for a second straight month, with preliminary data pointing to a further increase in June, Statistics Canada said on Friday.Real GDP added 0.3% monthly in May, while the preliminary figure indicated a 0.2% month-over-month increase in June, according to a StatsCan statement.May's GDP expansion was higher than a 0.2% monthly advance in a survey compiled by Bloomberg.Goods-producing industries led the growth, expanding 0.6% monthly as most sectors within the category improved. Service industries increased 0.2%, driven mainly by gains in real estate and rental and leasing, along with public administration.For the second straight month, the mining, quarrying, and oil and natural gas extraction sector was the main driver of economic growth.Overall, 13 of 20 industries posted increases in May, pointing to a broad-based economic expansion, added StatsCan.With the advance estimate for June, GDP points to a growth of 0.8% in the second quarter of 2026, according to the agency.

Statistics Canada Says Preliminary Q2 GDP Gains 0.8%

Statistics Canada Says Preliminary June GDP Up 0.2% M/M

Canada's GDP Expands 0.3% M/M in May; Bloomberg Survey Expected a 0.2% M/M Gain

TSX Closer: Index Edges Higher as Base Metals Rally Offsets Industrial Weakness

The S&P/TSX Composite Index edged higher on Thursday as gains in base metals and energy stocks outweighed weakness in industrials, while investors digested Canadian labor market data and the latest economic outlook.The index closed up 172.06 points, or 0.5%, at 35,505.84, with sectors trading in a mixed range. Base Metals led gainers, up 4.4%, while energy was up 1.2%. Industrials led decliners, down 2.8%.In commodities, West Texas Intermediate (WTI) crude oil closed lower, even as the US military continued its intense strikes against Iran. September WTI crude oil contract closed down $0.87, or 1%, and settled at $83.59 per barrel, while September Brent oil was last seen down $1.49, or 1.6%, at $89.25 per barrel.Meanwhile, spot gold was last seen up 1.12%, or $45.65, to $4,113.21 per ounce after the US Federal Reserve on Wednesday held interest rates steady.Additionally, Canadian oilseed processors crushed 1.2-million tonnes of canola in June, Statistics Canada reported on Thursday, up 12.8% from May.Separately, fresh labor market data pointed to continued growth in Canadian employment.Payroll employment in Canada rose by 24,100 workers, or 0.1%, on a monthly basis in May with gains led by public administration, health care and social assistance, and retail trade, according to the country's statistics agency.The number of employees receiving pay and benefits from their employer in the Survey of Employment, Payrolls and Hours was slower than the increase of 59,000 in April, Statistics Canada said Thursday.Meanwhile, TD Economics said Canada has avoided a broad-based recession despite two consecutive quarters of economic contraction, as the economy has undergone rolling sectoral adjustments rather than a widespread downturn. However, the bank cautioned that growth remains fragile amid ongoing US trade uncertainty."The next phase of the cycle should be judged by the quality and breadth of growth. Sustained gains in GDP per capita, rising industry participation, and a narrower gap between headline growth and lived economic conditions would signal a healthier and more durable recovery," wrote Rannella Billy-Ochieng, senior economist at TD.In stocks, Bausch Health (BHC.TO) closed up 28.5% to a near six-month high of C$8.43, after it reported a Q2 earnings and revenue beat late Wednesday and upgraded its fiscal 2026 guidance. Lightspeed (LSPD.TO), which also reported a Q1 beat this morning, fell 12.8% to C$13.49.

S&P/TSX Composite Index up 20 Points at Midday, Led by Strong Gains in Base Metals, Healthcare

The S&P/TSX Composite Index rose 20 points at midday Thursday in choppy trade, with base metals making the strongest gains.Base metals rose 3.5%, followed by the health care sector, which gained 3.2%.The industrials sector weighed on the index, dropping 2.8%, while telecoms fell 2.2%.In stocks, Bausch Health (BHC.TO) jumped 26% to a near six-month high of C$8.27, after it reported a Q2 earnings and revenue beat late Wednesday and upgraded its fiscal 2026 guidance.Lightspeed (LSPD.TO), which also reported a Q1 beat this morning, fell 13.8% to C$13.33.

TSX Closer: Index Closes Lower as Financials Slide, Energy Gains on Oil Rally

The S&P/TSX Composite Index closed sharply lower on Wednesday as losses in financial stocks outweighed gains in energy, while investors digested the Federal Reserve's decision to leave interest rates unchanged and monitored escalating tensions in the Middle East.The index closed down 415.92 points, or 1.16%, at 35,333.78, with most sectors down. Energy led gainers, up 3.16%, while Financial led decliners, down 2.93%.West Texas Intermediate (WTI) crude oil closed higher on Wednesday, reversing three days of declines after the Federal Reserve opted not to raise interest rates. Moreover, prices rose after President Donald Trump said Tuesday night that the US would respond "hard" to an attempted surprise attack by Iran on American forces in the Middle East.September WTI crude oil contract closed up $5.20, or 6.6%, and settled at $84.46 per barrel, while September Brent oil last was seen up $6.79, or 8.1%, at $90.88.Iran fired a barrage of missiles at US forces in the Middle East, while the US military, in coordination with Saudi Arabia, launched strikes against Iran-backed militias in Iraq.Meanwhile, in commodities, gold was last seen up 0.30%, or $12.00, to $4,050.70.The Federal Open Market Committee held the policy rate steady at the target range of 3.50%-3.75% for a fifth consecutive meeting. The move was mostly expected by market participants, TD Economics said in a note.The post-meeting statement was the same as the June release. Economic growth is still characterized as "solid", job growth has "kept pace with the workforce" and inflation continues to be characterized as "elevated", TD noted.Meanwhile, investors continued to assess the potential economic impact of US trade policy on Canada.Last week's US tariff threats would raise Canada's export tariff burden, but their impact remains uneven across industries and regions, National Bank of Canada said in a Wednesday note.A broad tariff increase doesn't imply an equally large impact across all sectors, as exemptions for many Canadian natural resource exports mean the national average understates where the economic effects are likely to be concentrated, said National Bank.In corporate news, Intact Financial (IFC.TO) closed down 6.62% at C$284.80 after it reported lower Q2 earnings that were due to higher catastrophe losses in Canada and large losses mainly due commercial fires in the United Kingdom.Separately, Toromont Industries (TIH.TO) closed down 1.16% at C$206.81 after reporting flat second-quarter earnings of C$1.53 per share, unchanged from a year earlier.

S&P/TSX Composite Index Down 470 Points at Midday as the Middle East Conflict Resumes

The S&P/TSX Composite Index was down 470 points at midday Wednesday after President Trump said Tuesday night the United States will hit Iran "hard" for an attempted surprise attack on American forces in the Middle East and Saudi Arabia joined in US strikes against several sites in eastern Iraq.The energy sector is up 3%, boosted by higher oil prices, followed by telecommunications, up 1.5%.Base metals and financials are the worst performers, down 3.2% and 2.5%, respectively.Gold is down 0.7% to $4,070.50, the lowest level since last October.In stocks, Allied Gold (AAUC.TO) is 18% lower, to C$24.24, after it announced the termination of an arrangement agreement with Zijin Gold. Zijin will instead make a strategic investment of $295 million, for a 9.2% equity stake in Allied.Intact Financial (IFC.TO)is down 4% to C$292.64 after it reported lower Q2 earnings that were due to higher catastrophe losses in Canada and large losses mainly due commercial fires in the United Kingdom.

TSX Closer: Index Rises as Tech Gains Offset Commodity Weakness Ahead of Fed Decision

The S&P/TSX Composite Index edged higher on Tuesday as gains in technology stocks outweighed weakness in base metals and oil prices, while investors assessed corporate earnings reports and awaited the US Federal Reserve's interest-rate decision.The index closed up 181.56 points, or 0.5%, at 35,749.70, with mixed sectors. Information technology led gainers, up 5.1%, while base metals led decliners, down 2%.In commodities, gold fell to a one-week low even as the US dollar index fell slightly, while investors awaited the Federal Reserve's interest-rate decision and comments from Chair Kevin Warsh on the policy outlook on Wednesday.The precious metal for August delivery was last seen down $52.1, or 1.3%, to $4,024.90 per ounce. The price of the precious metal has fallen about 24% since the US-Iran war that broke on Feb. 28.Meanwhile, West Texas Intermediate (WTI) crude oil closed lower on Tuesday, as investors await a solution to the Middle East conflict. September WTI crude oil contract closed down $3.35, or 4.1%, and settled at $79.26 per barrel, while September Brent oil last seen down $4.46, or 5.1%, at $83.90.In corporate news, Transat A.T. (TRZ.TO) on Tuesday said it is receiving federal government support of up to C$150 million, with C$125 million disbursed today, to mitigate the impact of higher aviation fuel prices, a statement said.In the Canadian economy, CIBC noted that activity is expected to have grown 0.1% month over month in May, likely supported by strength in retail trade and real estate activity while wholesale activity declined, said CIBC. Statistics Canada will release May and preliminary June GDP data on Friday.The bank anticipated that growth will moderate in the second half of the year as the risk of new US tariffs weighs on activity. This outlook should allow the Bank of Canada to remain on hold despite the recent increase in global oil prices, said CIBC.Additionally, Canada's broader growth outlook remains intact despite last week's proposed 50% US tariffs, with the measures affecting only a small portion of bilateral trade, according to RBC Economics.However, Quebec's economy is expected to remain under pressure as trade tensions weigh on activity, with uncertainty over the US-Mexico-Canada Agreement remaining elevated, National Bank of Canada said in a Tuesday note.In fixed income, attention turned to the government's near-term funding plans.Canada is increasing treasury bill sales as the government prepares to meet upcoming bond maturities in August and September. Tuesday's T-bill auction size is C$28 billion, up C$2 billion from two weeks ago, National Bank of Canada said in a note.

S&P/TSX Composite Index up 140 Points at Midday With Technology Stocks The Top Gainer

The S&P/TSX Composite Index was up 140 points at midday on Tuesday with technology stocks driving gains.Information technology is up 4.4%, followed by the telecommunications sector, which has gained 2%.Base metals and energy are the worst performers, declining 1.8% and 1.7%, respectively.In stocks, Celestica (CLS.TO) is up 5.9% to C$475.76 at midday, after it reported a second-quarter earnings and revenue beat late Monday.

TSX Closer: The Index Closes Higher as a Tech Rally Offsets Energy Losses

The S&P/TSX Composite Index moved higher on Monday as gains in technology stocks outweighed weakness in energy shares following a sharp drop in oil prices.The index closed up 199.04 points, or 0.56%, at 35,568.14, with mixed sectors. Information Technology led gainers, up 6.85%, while Energy led decliners, down 2.9%.In commodities, Gold rose on Monday, edging higher as the dollar and Treasury yields eased. The precious metal was last seen up $13.20, or 0.3%, to $4,084.00 per ounce.Meanwhile, oil traded sharply lower on Monday as the US and Iran paused fighting over the weekend, reviving hopes the pair will reach a peace deal. West Texas Intermediate crude oil for September delivery closed down $6.70, or 7.5%, at $82.61 per barrel, while September Brent oil was down $8.76, or 9.1%, at $88.02.On the economic front, the Bank of Canada released fresh survey results on market expectations for interest rates, growth and inflation.The BoC's second-quarter Market Participants Survey, released Monday, showed financial markets expect a 25-basis-point interest-rate increase, with the policy rate seen reaching 2.5% by March 2027.The survey, conducted from June 11 to 18 among 26 market participants, also pointed to a weaker economic growth outlook. The median forecast for 2026 gross domestic product growth was lowered to 1.3% from 1.6% in the first-quarter survey, while the 2027 forecast remained unchanged at 1.9%. Inflation expectations were broadly steady.Separately, investors will also be watching this week's release of Canada's May GDP data, with National Bank expecting the economy to expand 0.1% month over month after a 0.5% increase in April. Statistics Canada will release GDP for May and preliminary June data on Friday.Additionally, TD Economics said in a report on Monday that Alberta's proposed West Coast oil pipeline has entered a more concrete stage, with the province aiming to secure designation as a project of national interest by Oct. 1.With planned capacity of about 1 million barrels per day, the pipeline would increase Canada's crude export capacity by nearly 20%, improve access to Asian markets and support stronger pricing for Canadian oil, TD added.Attention also remained on the evolving US-Canada trade dispute, with economists offering differing views on its economic impact.The Canadian economy has demonstrated resilience despite mounting trade uncertainty as the US moves forward with new tariff measures, according to TD. Unlike the broad tariff measures announced in 2025, last week's tariffs appear targeted at pressuring Canadian producers while limiting the impact on US consumers and manufacturers, with no exemption for USMCA-compliant goods, said the bank.While KPMG Canada noted that last week's US tariff threat marks a setback, with broad implications across Canadian provinces and industries, particularly in Ontario, Quebec, and British Columbia.However, while the measures appear more substantial than previous announcements, their overall economic impact is likely to remain manageable, said KPMG Canada in its late Friday note. "Not good news, but the Canadian economy isn't going to break under these tariffs," wrote Ali Jaffery, chief economist at KPMG Canada.

S&P/TSX Composite Index Down 34 Points at Midday as Energy Drops

The S&P/TSX Composite Index fell 34 points at midday Monday, with energy and base metals posting the biggest declines.The energy sector was down 2.5%, followed by base metals down 1.1%. WTI crude oil traded nearly 7% lower on Monday after the US and Iran paused hostilities.Limiting losses are gains in information technology and telecoms, up 4.1% and 0.7%, respectively.In stocks, Belo Sun Mining (BSX.TO) shares jumped 21% to C$1.115 per share after it announced that a Brazilian federal court permanently dismissed a civil case against the Volta Grande gold project in Para State, Brazil.

TSX Closer: Index Rises as Financials, Healthcare Gain; Oil Retreats Despite Geopolitical Risks

The S&P/TSX Composite Index edged higher on Friday as gains in financial and healthcare stocks outweighed weakness in battery metals, while investors assessed corporate earnings, easing oil prices and ongoing geopolitical and trade risks.The index closed up 176.44 points, or 0.50%, at 35,369.10, with sectors trading in mixed dealings. Healthcare led gainers up 1.3%, followed by the financial sector, up 0.8%. Battery Metals Index led decliners, down 2.4%.In commodities, gold was mostly steady on Friday, sticking above the $4,000 mark even as the dollar nudged higher. The precious metal for August delivery was last seen up $5.1, or 0.1%, at $4,055.30 per ounce.Meanwhile, oil prices retreated from six-week highs early on Friday even as Middle East fighting continues, with Iran and the US continuing attacks and Houthi militants threatening shipping in the Red Sea.West Texas Intermediate crude oil for September delivery closed down $2.88, or 3.1%, to $89.31 per barrel, while September Brent oil was last seen down $3.02, or 3.00%, to $97.67.The longer oil prices remain elevated, the greater the squeeze on household budgets, TD Economics said in a note on Friday, adding that mortgage rates have already climbed to nearly 6.9%, a one-year high that will further strain affordability in the near term."WTI crude climbed by $10 per barrel from the end of last week to briefly above $93 before easing below $90 Friday morning. Marking another potential escalation, President Trump warned that the US would attack critical infrastructure if Iran targeted vessels," TD Economist Admir Kolaj.In economic news, Statistics Canada reported Friday that the Industrial Product Price Index fell 1.4% month over month in June as a tentative US-Iran deal boosted prospects for shipping through the Strait of Hormuz and lowered energy prices.Prices for energy and petroleum prices dropped 9.1% in June after a run of monthly gains this year.In another finding released on Friday, the Ottawa-based agency said Canada's new housing price index declined for a fourth straight month in June, sliding 0.1%. The index measures changes in the selling prices of new residential homes and covers new single homes, semi-detached home and townhouses.Meanwhile, investors continued to assess the potential economic fallout from escalating US-Canada trade tensions.Some analysts see the announcement of a possible 50% US tariff on Canadian goods this week mainly as a pressure tactic to get Canada to the negotiating table on US terms and soon, but BMO Economics wrote in a note that it isn't as confident on this.Chief Economist Douglas Porter said a 50% tariff would hit British Columbia, Quebec and Ontario the hardest. If maintained, the taxes could shave off 0.5% of national GDP, he estimated.In corporate news, Canadian National Railway Company (CNR.TO) reported second-quarter adjusted net income of C$1.26 billion, or C$2.08 per share, up from C$1.17 billion, or C$1.87 per share, in the year-ago quarter. Total revenues for the quarter were C$4.75 billion, up from C$4.27 billion.

S&P/TSX Composite Index up 225 Points at Midday, Led by Financials and Healthcare

The S&P/TSX Composite Index rose over 225 points at midday Friday, with the financial and healthcare sectors as the best performers.Financials were up 1% while the healthcare sector gained 0.6%.Energy was the biggest decliner and dropped 0.8% as oil prices retreated.In economic news, the Industrial Product Price Index fell 1.4% month over month in June, after a tentative deal between the US and Iran boosted prospects for shipping through the Strait of Hormuz and lowered energy prices, Statistics Canada reported on Friday. The index, which measures the prices of products made in Canada, had registered five monthly increases from January to May, the agency said.

Amapa Minerals Prices IPO at C$1.10 Per Share

Amapa Minerals said Friday that it has priced its initial public offering of 127.3 million shares at C$1.10 each, to raise C$140 million.The offering, expected to close on July 30, includes a 15% over-allotment option, which if exercised in full, would raise an additional C$21 million, a statement said.The Toronto Stock Exchange has conditionally approved the listing of the shares, which are expected to begin trading on an "if, as and when issued basis" on July 27 under the symbol "AMAP".Amapa Minerals' principal asset is the Amapa Project in northern Brazil.

TSX Closer: Index Closes Lower as Tech Slides Despite Oil Rally, Strong Retail Sales

The S&P/TSX Composite Index edged lower on Thursday as weakness in technology stocks offset gains in energy shares, with investors assessing stronger Canadian retail sales data, escalating Middle East tensions and the latest US trade measures against Canada.The index closed down 292.45 points, or 0.8%, at 35,192.66, with mixed sectors. Energy led gainers, up 2.2%, while Information Technology led decliners, down 2.7%.In commodities, gold prices retreated on Thursday, falling off a two-week high as the dollar and yields rose after the US reported a sharp drop in initial jobless claims for the last week.The precious metal for August delivery was last seen down $100.10, or 2.41%, to $4,051.80 per ounce. The US Labor Department on Thursday reported 187,000 fresh jobless claims last week, down from a revised 209,000 claims a week earlier and under expectations for 212,000 new claims, according to MarketWatch.Meanwhile, West Texas Intermediate (WTI) crude oil closed sharply higher on Thursday, rising for a fifth straight day as fighting between the US and Iran continued and Yemen's Houthi militants widened the Middle East conflict by attacking two tankers carrying Saudi oil in the Red Sea.WTI crude oil for September delivery was last seen up $5.36, or 6.2%, to settle at $92.19 per barrel, its highest level since June 4, while September Brent crude was last seen up $7.16, or 7.6%, at $101.23.Canadian May retail sales advanced 1.0%, in line with its advance estimate, driven primarily by higher receipts at gas stations. The preliminary reading for June points to a 0.4% increase, Statistics Canada data showed Thursday.Beyond the gas price increase, retail sales were solid in May, and a decent flash for June adds to the encouraging news, said Shelly Kaushik, senior economist at BMO."The economy seemed to be building momentum in Q2, although additional challenges -- more tariffs, extreme weather, and the renewed energy price shock -- await in the second half of the year," Kaushik wrote.All nine sectors were higher, led by sporting goods and hobby stores (+1.8%), general merchandise (+1.0%) and building materials (+0.9%). Nine of the 10 provinces posted higher sales, led by Saskatchewan (+2.9%). Nova Scotia was the lone outlier with a 0.8% drop driven by weaker sales at motor vehicle and parts dealers.Looking ahead, expanded household benefits will support incomes and spending in the second half of the year, but the recent rebound in gasoline prices will limit the extent of any pick-up in retail sales volumes, noted CIBC's senior economist Andrew Grantham.In currencies, Scotiabank said it is maintaining a medium-term bullish view on the Canadian dollar with an outlook that central bank policy will narrow US-Canada policy rate differentials.The CAD entered Q3 slightly recovering its 2% decline in Q2 versus the US dollar, wrote Scotiabank in a note. "The forecasted Fed easing is paired with 75bps of tightening from the Bank of Canada, leaving the BoC at 3.25% by the end of our forecast horizon," the report said.The analysts acknowledged that "sentiment and positioning" continue to give a bearish leaning on CAD, which is a "major vulnerability." Scotiabank recently adjusted its USD/CAD forecast with a Q4 2026 target at $1.37 and a Q4 2027 target at $1.33.Additionally, small business confidence rose to 58.3 points in July, about 8 points above June, but confidence among manufacturers continued to lag at 53.7 index points, the Canadian Federation of Independent Business (CFIB) reported Thursday.The manufacturing sector's confidence, which hasn't recovered since 2023, has been hit harder by tariffs than by either the 2008-09 recession or the pandemic, the CFIB reported. The sector is contending with higher shipping and receiving costs.Meanwhile, responding to the latest US trade measures, Prime Minister Mark Carney said ahead of a meeting with Canada's premiers that the government would do "whatever it takes" to defend Canadian businesses, workers and families."We are in a stronger position than we were when this trade war started 18 months ago," Carney said Thursday, according to a video of his remarks in Charlottetown, P.E.I.On Monday, the White House said it will hit a host of goods including Canadian alcohol, hockey equipment, and electronics with a 50% tariff starting next month.

S&P/TSX Composite Index Down 370 Points at Midday

The S&P/TSX Composite Index fell 370 points at midday Thursday, weighed down by the technology and financial sectors.The technology and financials sectors were down 2% and 1.5%, respectively, while energy rose 2.2%.Oil rose for the fifth straight day and jumped 6% to $92 as fighting between the US and Iran continued and Yemen's Houthi militants attacked two tankers carrying Saudi oil in the Red Sea.In economic news, May retail sales advanced 1% to $73.7 billion, reported Statistics Canada. The agency provided an advance estimate of 0.4% for June.In stocks, FirstService (FSV.TO) shares were down 10% at midday, to C$179.79. The property management company reported a Q2 adjusted earnings beat, though revenue just missed estimates.