Canadian stocks climbed on Wednesday

Index Update: After opening above yesterday's close, the benchmark S&P/TSX Composite traded positive throughout the session before settling at 32,957.95, up by 189.91 points (or 0.58%).

Macro Update:  Data released by S&P Global showed the Canada Manufacturing Purchasing Managers' Index fell to 50.0 in March from 51.0 in the previous month, hinting at stagnation in manufacturing sector performance and ending a two-month period of improvement. According to the report, output declined for the first time in 2026, while new order volumes contracted, with high prices and headwinds from U.S. tariffs continuing to weigh on export sales. The Bank of Canada's governing council's summary of deliberations revealed today that the impact of soaring oil prices on inflation had been driving the Bank of Canada's recent interest rate decision. The council had agreed to intervene, if necessary, as events unfold.

Top Movers:  Among the individual stocks, Chartwell Retirement Residences (4.72%), Curaleaf Holdings Inc (3.67%), Discovery Silver Corp (9.84%), Capstone Copper Corp (7.91%), and Torex Gold Resources Inc (7.42%) were the prominent gainers.

Our Stance: Momentum indicators suggest only moderate strength, with the 14-period Relative Strength Index (RSI) hovering around 53.83. On the downside, immediate support is seen near the 32,800 level. A sustained break below this threshold could extend the consolidation phase, potentially dragging the index toward the 32,500 zone in the near term. 

Commodity Update:  The dollar advanced against major currencies on Thursday as investors returned to safe-haven assets after President Donald Trump said U.S. military strikes on Iran would continue for another two to three weeks. Although Trump said the conflict could end soon, his remarks reduced hopes for an immediate ceasefire. Commodity markets moved sharply, with gold falling 2.17% to USD 4,708.45, silver declining 5.21% to USD 72.12, and copper slipping 1.13% to USD 12,303.00. Meanwhile, Brent crude surged 4.83% to USD 106.03 per barrel.

Technical Update:

On Wednesday, the S&P/TSX Composite Index advanced by 189.91 points (0.58%) to close at 32,957.95, reflecting a resurgence in buying interest. Despite the recent pullback, the broader market structure continues to point toward a phase of healthy consolidation rather than signaling a definitive trend reversal. From a technical perspective, the index remains above its 21-period Simple Moving Average (SMA) on the daily chart, which is acting as a dynamic support and helping to maintain a constructive near-term bias. However, momentum indicators suggest only moderate strength, with the 14-period Relative Strength Index (RSI) hovering around 53.83. On the downside, immediate support is seen near the 32,800 level. A sustained break below this threshold could extend the consolidation phase, potentially dragging the index toward the 32,500 zone in the near term.