FX.co ★ TSX Tumbles on Mining Equities Weakness

The S&P/TSX Composite Index experienced a decline of approximately 1.6%, dipping below the 29,950 threshold on Tuesday. This performance lagged behind that of U.S. markets due to pressures from weaker mining stocks and the prospect of stricter monetary policy impacting the index. In September, Canada's headline inflation climbed to a seven-month peak of 2.4%, surpassing expectations. At the same time, the Bank of Canada's core inflation measures remained elevated, dampening hopes for a potential interest rate cut by the central bank next week. The price of gold declined from recent record highs as investors opted to take profits. Additionally, easing trade tensions between the U.S. and China reduced demand for the precious metal, affecting mining companies like Agnico Eagle, Wheaton, and Barrick, which saw their shares fall by approximately 7.5% to 8%. Conversely, the financial sector managed to maintain positive territory. On the corporate front, Waste Connections, whose stock was largely unchanged, is anticipated to announce earnings per share of C$1.38 and revenues of C$2.45 billion following market close. UBS has lowered its price target for the company to C$190, citing weaker sector fundamentals projected for 2025.