TSX Slides 0.04% as Gold, Oil Dip

Market Overview

On Monday, Canada’s main equity benchmark, the S&P/TSX composite, slipped 78 points, or 0.2%, to 35,196.84, while the S&P/TSX 60 index edged down by a single point (‑0.04%) to 21,099. By 12:08 ET (16:08 GMT) the broader index was marginally lower, reflecting modest weakness in gold and oil markets.

Commodity Prices

Spot gold fell 0.5% to $4,155.68 per ounce, whereas gold futures rose 1.0% to $4,169.14 per ounce, as the U.S. dollar recovered from recent lows. The decline followed a rebound from eight‑month lows and a weaker‑than‑expected June U.S. non‑farm payrolls report, which reduced expectations of further Federal Reserve rate hikes in 2026.

Crude oil prices were largely flat, with the benchmark Brent trading marginally lower after OPEC+ announced an additional 188,000 barrels per day of production from August, extending its phased rollback of voluntary cuts. The increase in output targets is intended to support market balance as Gulf conditions normalise. Shipping through the Strait of Hormuz has improved, with ten Japan‑linked vessels exiting the chokepoint after months of stranding.

U.S. Market Context

U.S. equities were mixed. The Dow Jones Industrial Average slipped 44 points (‑0.1%), the S&P 500 gained 54 points (‑0.7%), and the Nasdaq Composite rose 368 points (‑1.4%). The mixed performance came ahead of the release of Federal Reserve minutes from its June meeting, scheduled for Wednesday. The Fed had left the policy rate unchanged at a 3.5%‑3.75% range, but projections hinted at a possible rate increase later in the year. New Fed Chair Kevin Warsh indicated he may soon announce a slate of task‑force appointees to review the central bank’s communications and data‑analysis practices.

Sector Highlights

Higher gold and copper prices earlier in the week had lifted metals‑mining shares, keeping the commodities‑heavy TSX near a two‑week high. Conversely, semiconductor stocks have been pressured; the Philadelphia Semiconductor Index has fallen 12% over the past two weeks, though it remains up year‑to‑date.

Upcoming Corporate Earnings

Traders will watch the start of second‑quarter earnings, with Levi Strauss & Co, PepsiCo (NASDAQ:PEP) and Delta Air Lines (NYSE:DAL) among the first major companies slated to report.

Economic Backdrop

A weaker‑than‑expected June U.S. jobs report eased concerns about near‑term monetary tightening, supporting equity rallies despite lingering questions about lofty valuations in AI‑exposed stocks and the sustainability of capital expenditures on related infrastructure.