Canadian Stocks Rise Even As Trade Uncertainty Looms

(RTTNews) - Canadian stocks climbed to post modest gains on Wednesday, supported by Canada's mining heavyweight companies even as the US President gets aggressive with tariff imposition.

After opening a little higher than the previous close, the benchmark S&P/TSX Composite Index today struggled in mid-morning trading. Later, the index gained momentum to reach an intraday high of 27,018.54 after noon.

Then, after swinging a little, the index finally settled at 26,972.32, up by 68.75 (or 0.26 %).

The US has extended the reciprocal tariff suspension period from July 9 to August 1. With the UK, China, and Vietnam done with trade agreements with the US, India and the EU are close on the heels.

US President Donald Trump's announcement of an additional 10% tariff on the 11-member BRICS nations as well as his plans to impose 50% and 200% levies on Copper and pharmaceutical imports to the US, respectively, has created jitters globally.

Canadian PM Mark Carney had stated weeks ago that the US and Canada are negotiating to close a trade deal in 30 days. However, so far no details have surfaced.

Investors remain confident that negotiations with the US are going on still and PM Mike Carney will soon find a way to reach an agreement.

Separately, the Canadian PM is pushing for trade deals with nations other than the US to cut short over-reliance on the US for its exports.

Canadian CEOs are visiting India later this year on a business trip to sign bilateral trade agreements. Canada has also started shipping its Natural Gas and Liquefied Natural Gas to South Korea.

Data from Statistics Canada showed that Canadian companies are boosting trade with nations other than the US as a sign of trade diversification.

The PM has also instructed his cabinet through his finance minister to find ways to massively cut spending going forward.

Investors are keenly awaiting Canadian jobs data, due on Friday, to understand how the economy is faring despite Trump's tariff pressures.

The yield on Canada's 2-year bond eased to 2.68% today, indicating a 0.02% decrease from the previous session.

Major sectors that gained in today's trading were Materials (0.82%), Real Estate (0.48%), IT (0.42%), and Industrials (0.39%).

Among the individual stocks, Endeavour Silver Corp (9.06%), First Majestic Silver Corp (5.21%), Fortuna Mines (5.02%), and H&R Real Estate (4.17%) were the prominent gainers.

Major sectors that lost in today's trading were Communication Services (0.12%), Healthcare (0.10%), Energy (0.09%), and Utilities (0.16%).

Among the individual stocks, Rogers Communications (0.34%), BCE Inc (0.28%), Bausch Health Companies (1.53%), and Baytex Energy (2.95%) were the notable losers.