The S&P/TSX Composite Index inched up 0.1% to close at 36,402 on Wednesday, supported by a strong rally in mining stocks. Gold prices climbed to their highest level since early June, following a surge in long-dated US Treasuries after the US Treasury Department announced it would double buybacks of notes and bonds for the upcoming fiscal quarter.
Major gold producers were among the standout performers: Agnico Eagle jumped 10.5%, Barrick gained 6.7%, and WPM soared 10.4%.
In contrast, financials weighed on the index as rising oil prices intensified inflation worries. RBC fell 3.1%, TD Bank declined 3.5%, BMO dropped 4.4%, CIBC slid 3.7%, and Scotiabank lost 3.3%. Energy stocks also moved lower despite higher crude prices, with Canadian Natural down 0.7% and Suncor off 1%.
On the trade front, US President Trump paused the implementation of 50% tariffs on select Canadian products and indicated that a trade agreement with Canada was close. However, reports suggested that tariffs on metals would remain in place.
Industrials also came under pressure, with Enbridge shares declining 2.7%.
