FX.co ★ TSX Start Week in the Red

On Monday, the S&P/TSX Composite Index experienced a 1.4% drop, closing at 22,860, marking its lowest point in seven months. This downturn was largely driven by rising global trade tensions and growing concerns over a potential recession, leading investors to shy away from riskier assets. The situation was exacerbated by the escalation of U.S. tariffs and China’s retaliatory 34% levy, heightening fears of an impending global economic slowdown and triggering widespread market declines. U.S. President Donald Trump has remained resolute in implementing his broad tariff policies, without offering any counterbalancing policy measures, which in turn has caused a steep drop in oil prices, affecting revenue projections in sectors reliant on commodities. Consequently, energy and mining stocks were significantly impacted. Notable companies such as Canadian Natural and Imperial Oil saw decreases of 3.6% and 2.7%, respectively. Additionally, key financial and mining institutions, including RBC, TD Bank, BMO, and Scotiabank, experienced notable downturns, with losses ranging from 1.1% to 4.6%.