Canadian Stocks Close Slightly Higher

Image Source : Krish Capital Pty Ltd

Index Update: The benchmark S&P/TSX Composite Index climbed well off its early lows before ending the day up 25.94 points or 0.1 percent at 25,879.95.

Macro Update: Statistics Canada released a report showing retail sales climbed by 0.8 percent in March, led by increases at motor vehicle and parts dealers.

Core retail sales, which exclude gasoline stations and fuel vendors and motor vehicle and parts dealers, edged up by 0.2 percent in March.

Top Movers and Losers: Rogers Communications leapt 7.2% on a BMO price-target upgrade, Teck Resources and First Quantum Metals rallied 3–3.7% on stronger copper outlooks, and Bombardier soared 21.4% after securing a 50-aircraft order. In contrast, technology underperformed, with BlackBerry down 8.2% on restructuring concerns, and defensive names such as Waste Connections, Great-West Lifeco and Cameco each slipped more than 3.5%

Our Stance: Currently, the index is testing a key support level of around 26,600. Holding above this threshold is essential to preserve the prevailing bullish trend. A decisive breakdown below this level could trigger a pullback toward the next support zones near 26,400 and 26,200. Sustained movement above these levels will be crucial for maintaining upward momentum in the sessions ahead.

Commodity Update: The U.S. dollar fluctuated Thursday as a trade agreement with Vietnam boosted hopes for more deals before the July 9, 2025, tariff deadline. Investors awaited U.S. payroll data for clues on the Federal Reserve’s policy direction. Gold slipped 0.04% to 3,358.50 dollars, silver dipped 0.04% to 36.41 dollars, copper declined 0.33% to 9,970.45 dollars, and Brent crude fell 0.35% to 68.87 dollars amid weak U.S. demand concerns.

Technical Update: On Wednesday, the S&P/TSX Composite Index edged up by 12.55 points to close at 26,869.66, marking a modest gain of 0.05%. The advance was supported by strong trading volumes, underscoring continued investor confidence. The healthcare sector led the gains with a notable 4.10% increase, reflecting renewed optimism in the space. From a technical perspective, the index maintains its bullish bias, trading comfortably above its 21-period Simple Moving Average (SMA). The Relative Strength Index (RSI) stands at 68.90, indicating solid momentum with scope for further upside. Currently, the index is testing a key support level near 26,600. Sustaining levels above this threshold is crucial to maintain the upward trajectory. A decisive break below could trigger a retracement, with the next support levels seen at 26,300 and 26,100 on the daily chart.