FX.co ★ TSX Pressured Tech and Finance

On Wednesday, the S&P/TSX Composite Index experienced a decline of approximately 0.2%, settling just below the 26,820 level. This downturn was primarily due to the losses incurred by major technology and financial firms, despite some support from the commodity sector. Key players in the tech segment, such as Shopify and Constellation Software, saw their stock values decrease by approximately 1.2% and 0.8%, respectively. This decline mirrored the dip in U.S. megacap stocks overnight. In the financial sector, notable institutions like Brookfield and Scotiabank experienced a drop of around 0.8% and 1%, respectively, influenced by a flatter yield curve following the ADP report, which introduced new uncertainties regarding the potential timing of Federal Reserve interest rate cuts. On the other hand, commodity giants like Canadian Natural, Suncor, Barrick Gold, and Cenovus showed resilience, each gaining over 1%. Within the domestic market, S&P Global reported that Canada’s Manufacturing PMI for June plummeted to 45.6—its lowest in more than five years. This marks the fifth consecutive month of significant output declines, weakened export orders, and the quickest rate of inventory reduction since 2020, highlighting the ongoing impact of tariffs and trade tensions on export-reliant industries.