FX.co ★ TSX Aims at Fresh Record High

The S&P/TSX Composite Index experienced a 0.3% increase, surpassing the 26,250 level on Monday, as it sought to initiate June with a new record high. This upward movement was largely fueled by the rise in gold and oil prices, which bolstered the resource-intensive Toronto exchange. Leading the charge in this gain were major mining corporations such as Agnico Eagle, Wheaton Precious Metals, Barrick Gold, and Franco-Nevada, each of which saw their stock prices soar by over 4%. This was in response to escalating tensions in the Middle East and the threat of tariffs that have heightened the demand for gold. Concurrently, energy sector giants provided additional support to the index following a surge in oil prices, attributable to the OPEC+ decision to implement modest supply increases for July. Meanwhile, the financial sector remained stable in anticipation of Wednesday's decision by the Bank of Canada regarding interest rates. Market participants increasingly anticipated no change, considering April’s mixed inflation data—where headline Consumer Price Index (CPI) decreased to 1.7%, while core inflation rose to 2.9%—thus sustaining appealing real yields. Despite the added uncertainty from President Trump’s proposal to double tariffs on steel and aluminum to 50% set for Wednesday, Canada's robust trade relations with markets outside the United States have helped buffer the broader market impact.