FX.co ★ TSX Struggles for Direction

On Tuesday, the S&P/TSX Composite Index remained nearly unchanged, hovering around the 27,020 level. Investors were focused on analyzing President Trump's latest tariff announcement, which targets 14 nations with increased duties effective August 1st. However, the potential for exemptions, pending substantive proposals from these countries, has alleviated immediate concerns for Canadian exporters. This short-term relief bolstered commodity producers following Monday's decline. Concurrently, Ottawa's decision to eliminate the digital services tax on US tech companies and its initiative to finalize a deal by July 21st highlight efforts to protect domestic industries. Finance Minister François-Philippe Champagne's directive to achieve budgetary savings and redirect funds towards critical infrastructure projects has further reassured markets, signaling Ottawa's preparedness to address prolonged trade tensions. Notably, Canada's major railway companies, Canadian Pacific and Canadian National, each gained over 1%, while the sectors of finance, technology, and commodities delivered a mixed performance.