TSX Rises as Banks and Tech Stocks Rebound

The S&P/TSX Composite Index rose 1.5% to close at 36,137 on Thursday as banking and technology stocks rebounded sharply from earlier losses. Lower global bond yields boosted risk appetite after a selloff in Wall Street chipmakers drove investors toward safe-haven assets such as government bonds. Canada’s benchmark 10-year bond yield fell about 8 basis points, supporting broad-based gains across sectors. Interest-rate-sensitive stocks advanced, with RBC up 1.1%, TD Bank gaining 1.5%, and National Bank rising 1.9%. Retailers also gained, with Loblaw jumping 5% and Dollarama advancing 2.7%. Meanwhile, the selloff in chipmakers slowed sharply, while US hyperscalers mostly closed higher, lending support to Canadian technology stocks. Shopify rose 2.9%, Constellation Software jumped 4.6%. Celestica closed 3.1% lower, trimming losses. Rising gold and silver prices boosted mining shares, with Agnico Eagle gaining 5.7%, Barrick adding 4%, and WPM rising 2.5%.

The S&P/TSX Composite Index edged lower toward 35,500 on Thursday, weighed down by losses in the banking and tech sectors. Major banks declined amid volatile oil prices, as persistent concerns about energy-driven inflation continued to pressure credit-sensitive stocks. TD Bank, National Bank and BMO each fell 0.5%. In the technology sector, Celestica extended its losses, plunging more than 7% as the selloff in Wall Street chipmakers continued, while Shopify fell nearly 1.5%. Energy producers also retreated as oil prices fluctuated, with Cenovus shedding 1% and other major energy stocks edging lower. Energy infrastructure stocks weakened as well, with Enbridge falling more than 1%In contrast, rising gold and silver prices supported mining shares, with Agnico Eagle gaining more than 1% and Barrick rising nearly 1%. On the data front, Canadian manufacturing sales rose 1.5% month-over-month in August, beating forecasts for a 1.1% increase, led by gains in the primary metals and chemicals.

Futures tied to Canada’s stock market edged higher on Thursday, supported by a rebound in precious metals prices and easing global bond yields. Gold and silver prices climbed, lending support to mining shares. Global yields retreated from multi-year highs as a deepening selloff in technology and artificial intelligence stocks drove investors toward safe-haven government bonds. On the data front, Canadian manufacturing sales rose 1.5% month-over-month in August, beating forecasts for a 1.1% increase, led by gains in the primary metals and chemicals subsectors.