FX.co ★ TSX Tumbles as Miners Plunge

The S&P/TSX Composite Index declined approximately 1.5%, falling below the 32,550 level on Friday. This drop left the index nearly 2% down for the week as significant decreases in gold prices and weaker oil values heavily impacted commodity producers. The losses were widespread, with leading mining companies such as Agnico Eagle, Barrick, Wheaton Precious Metals, and Franco-Nevada experiencing declines ranging from 4.9% to 6.8%. This was triggered by more than a 5% drop in gold prices due to a stronger U.S. dollar and increased profit-taking activities. The pressure on metal prices was further exacerbated as traders exited speculative positions following President Trump's nomination of Kevin Warsh as the Federal Reserve Chair, which heightened concerns regarding a potentially more inflation-focused monetary policy. On the economic data front, Canada's GDP figures indicated stagnant output for November, heightening worries about the fragile state of the domestic economy. Additionally, President Trump issued a threat to decertify Bombardier Global Express jets while considering imposing 50% tariffs on Canadian-made aircraft unless regulators approve competing U.S. models.