TSX Enjoys Respectable Gains

Canada's main stock index was ended higher on Tuesday, even as cautious investors moved on from the country's elections to focus on the potential economic impact of a global trade war triggered by U.S. President Donald Trump's tariffs.

The TSX Composite Index gained 75.89 points to conclude Tuesday at 24,874.48

The Canadian dollar dipped 0.04 at 72.26 cents U.S.

The market reaction was muted to Prime Minister Mark Carney-led Liberals securing a victory without an outright majority in Canada's parliamentary elections, which had centered on Trump's tariffs on its northern neighbor.

However, Carney, the first person to lead two G7 central banks, has the experience to earn immediate international credibility, experts say.

The Liberal leader had promised a tough approach to Washington's import tariffs and said Canada would need to spend billions to reduce its reliance on the U.S.

Meanwhile, investors globally are also awaiting more clarity on the state of U.S.-China trade negotiations.

Canada's auto parts suppliers may get a boost from reports that Trump's administration may alleviate some duties imposed on foreign parts in domestically manufactured cars.

On the TSX, health-care won the derby among gainers, with Tilray soaring two cents, or 3.1%, to 67 cents, while Bausch Health Companies climbed 11 cents, or 1.5%, to $7.60.

Communication stocks were another among the top gainers, with BCE Inc rising 18 cents to $30.31. Elsewhere, Quebecor hiked 46 cents, or 1.3%, to $37.08, while Cogeco added 73 cents, or 1.1%, to $66.06.

Consumer discretionary issues also made the podium, with Magna International piling on $1.06, or 2.2%, to $48.44, while Aritzia took on 97 cents, or 2%, to $48.66.

Gold and materials were among the chief laggards, as Aya Gold dropped 23 cents, or 2.3%, to $9.60, while Eldorado Gold handed back 73 cents, or 2.8%, to $25.82.

Orla Mining withered 38 cents, or 2.6%, to $14.48, while Agnico Eagle Mines skimmed off $3.51, or 2.1%, to $160.99.

In energy stocks, International Petroleum dipped 73 cents, or 3.6%, to $19.35, while Arc Resources faded 88 cents, or 3.3%, to $25.93.

ON BAYSTREET

The TSX Venture Exchange recovered 1.63 points to 654.81.

Eight of the 12 subgroups were higher by the close, as health-care prospered 1.5%, while telecoms and consumer discretionary stocks each took on 0.9%.

The four laggards were weighed most by gold, down 1.4%, while materials and energy, each retreating 0.8%.

ON WALLSTREET

The Dow Jones Industrial Average rose on Tuesday, hitting its highs of the day as the White House said a major trade deal was close to being announced.

The 30-stock index hiked 300 points to 40,527.62. Helping lead the Dow higher, Honeywell surged 5.4% after the company’s latest quarterly results beat analyst estimates.

The S&P 500 index recovered 32.08 points to 5,560.83. Both indexes posted a sixth straight positive day, marking the longest win streak since July for the Dow and since November for the S&P 500.

The NASDAQ Composite strengthened 95.18 points to 17,461.32.

“I have a deal done, done, done, done, but I need to wait for their prime minister and their parliament to give its approval, which I expect shortly,” Commerce Secretary Howard Lutnick told reporters in the afternoon, without naming the country.

Amazon said a plan to display tariff surcharges on its site for discount store Amazon Haul was “not going to happen.” The stock dropped earlier Tuesday after White House press secretary Karoline Leavitt such a move would be considered a “hostile and political act.” Shares ended the session off their lows for the day, down nearly 0.2%.

General Motors also declined after the automaker reported better-than-expected profit but said it was reassessing future guidance and suspending more share buybacks as it awaits clarity on the impact from the levies. Shares had risen earlier on reports that Trump was willing to make concessions on foreign-made parts used in domestic production.

GM’s decision follows a number of other companies that have announced they’re reconsidering their full-year forecasts in the wake of rising global trade tensions. Last week, American Airlines and Skechers withdrew their 2025 outlooks, with both companies citing economic uncertainty.

Investors are gearing up for a busy earnings week, with about one-third of S&P 500-listed firms slated to post results between Monday and Friday. Big Tech is of particular focus, with Meta Platforms and Microsoft expected on Wednesday and Apple and Amazon scheduled for Thursday.

Of the more than 36% of S&P 500 companies that have reported so far this season, about 73% have exceeded Wall Street expectations. That’s modestly below the five-year average of 77%.

Prices for the 10-year Treasury gained, lowering yields to 4.18% from Monday’s 4.21%. Treasury prices and yields in opposite directions.

Oil prices lost $1.78 to $60.27 U.S. a barrel.

Prices for gold slid $15.40 to $3,332.30 U.S.