TSX Drops as Banking and Mining Stocks Weigh

The S&P/TSX Composite Index fell 0.6% to close at 35,236 on Wednesday as losses in banking and mining more than offset gains among energy producers. Oil prices rebounded amid uncertainty over US-Iran negotiations, supporting energy stocks but pressuring credit-sensitive sectors as concerns over persistent energy-driven inflation remained. Most major banks traded lower, with RBC losing 1.1% and TD Bank shedding 0.9%. Imperial Oil rose 1.1%, while Suncor gained 10.7%. Meanwhile, gold prices reversed earlier gains, weighing on mining shares, with Barrick down 1%, Agnico Eagle shedding 1.3%, and Franco-Nevada losing 3.8%. First Quantum plunged 15.3% after a Panamanian commission urged the orderly closure of its Cobre Panama mine. On the month, the S&P/TSX Composite Index shed 2.1%.

TSX decreased to 35242.00 Index Points, the lowest since July 2026. Over the past 4 weeks, Canada Stock Market Index (TSX) lost 2.79%, and in the last 12 months, it increased 17.11%.

The S&P/TSX Composite Index was near flat on Wednesday as losses in banking partially offset gains in mining and energy producers. Oil prices rebounded amid uncertainty over US-Iran negotiations, supporting energy producers but pressuring credit-sensitive sectors as persistent energy-driven inflation concerns remained. Canadian Natural, Imperial Oil and Cenovus rose about 1%, while Suncor added 1.5%. Most major banks traded below the flatline. Meanwhile, gold prices rose, lending support to mining shares, with Franco-Nevada gaining 4%. US PCE inflation came in slightly below estimates, easing some concerns over further interest rate hikes by the Fed and BoC. The personal consumption expenditures price index rose 3.4% year over year, below forecasts of 3.7%. The softer-than-expected reading limited losses in the financial sector as Fed officials continued to monitor inflation and spending data.