S&P/TSX Hits Record Highs on Trade Optimism

Canadian stocks, represented by the S&P/TSX Composite Index, reached record highs following London-based U.S.-China trade talks that resulted in the lifting of China's rare earth export curbs and renewed commitments to cooperation. This development positively impacted Canadian mining and technology sectors. Energy and IT stocks, including Shopify and Imperial Oil, led gains, while a 6.6% drop in Canadian building permits weighed on real estate shares. Market sentiment was further buoyed by stronger-than-expected U.S. jobs data and hopes for relaxed U.S. steel and aluminum tariffs. Chinese officials indicated a willingness to improve ties with Canada as part of ongoing global trade realignments. Financials and Consumer Staples sectors underperformed during the latest trading session.