Even with a 90-day tariff break for most countries and milder U.S. inflation data, Canadian stocks fell Thursday amid mounting trade tensions between Washington and Beijing. A day after posting its largest single-day percentage gain in over five years, the S&P/TSX Composite Index fell by 712 points, or 3%, for the day to settle at 23,015.
Although a recovery in metals prices took mining stocks higher, nearly all other sectors suffered losses as risk aversion returned to the forefront, with healthcare and technology among the hardest hit.
According to the U.S. Bureau of Labor Statistics, the Consumer Price Index rose 2.4% year over year in March 2025, at a slower pace than February’s 2.8%, offering some relief on the inflation front. However, the softer inflation print wasn’t enough to offset investor anxiety over the deepening U.S.-China trade standoff, which continued to overshadow macroeconomic data.
