The S&P/TSX Composite Index fell more than 0.5% on Thursday, slipping below the 35,500 mark as weaker gold prices and escalating geopolitical tensions in the Middle East weighed on sentiment. Gold miners were among the notable laggards, with Agnico Eagle dropping 2.5%, and Barrick Gold and Wheaton Precious Metals (WPM) each declining more than 3%.
At the same time, the conflict in the region drove oil prices higher on mounting supply concerns, stoking renewed fears about inflation. Financials also traded lower, with Royal Bank of Canada, TD Bank, Scotiabank, and CIBC each losing nearly 1%.
In corporate news, Cogeco Communications rose 0.5% despite missing third-quarter revenue estimates, reported after the market close on Wednesday.
On the trade front, US Trade Representative Jamieson Greer indicated that formal negotiations with Mexico were progressing, while talks with Canada had yet to yield the concessions sought by President Trump in his effort to narrow US trade deficits with both countries. Earlier this month, the United States announced it would not renew the USMCA; the agreement will, however, remain in force until the outstanding issues are resolved or the pact is ultimately terminated.
