TSX Drops to 2-Week Low
2026-03-05 14:47
By
Felipe Alarcon
1 min. read
Canada's S&P/TSX Composite Index slumped around 1% to below the 33,600 mark on Thursday, marking a two-week low as escalating geopolitical risks in the Middle East and evidence of persistent inflation dampened the outlook for rate cuts.
Higher than expected wage growth and manufacturing costs drove government bond yields to track their American counterparts higher, adding pressure to the financial and mining sectors.
Royal Bank of Canada and TD Bank fell while major gold miners including Agnico Eagle and Barrick Gold plunged more than 3.5% as traders repositioned away from previous safe haven gains.
However energy producers remained a point of resilience with Canadian Natural Resources and Cenovus Energy gaining over 1% as global supply concerns kept crude prices near their recent peaks.
Technology shares also showed strength as Shopify and Constellation Software advanced more than 2%.
In other developments, Canada signed new critical minerals agreements with Australia.