The S&P/TSX Composite Index fell 0.5% to close at 24,248 on Tuesday, reaching four-month lows as escalating U.S.-Canada trade tensions press heavily on Canadian equities.
This decline stems from President Trump’s decision to double tariffs on Canadian steel and aluminum to 50% and his threat to raise auto parts duties unless Canada retracts its protective tariffs on dairy and other goods.
These measures have increased the risk of disrupted supply chains and reduced export prospects across key sectors such as industrials, financials, and transportation.
Although Ontario’s suspension of a planned 25% electricity surcharge on exports to the U.S. offered brief relief, the prospect of further retaliatory actions has investors bracing for lower corporate earnings.
Major financial institutions like RBC, TD Bank, and BMO declined between 2% and 2.6%, while mining heavyweights including Agnico Eagle, Barrick Gold, Wheaton Precious Metals,…
