Canadian Stocks Close Slightly Higher

Index Update:  The benchmark S&P/TSX Composite Index pulled back well off its best levels of the day, eventually closing just above the unchanged line. The index inched up 34.20 points or 0.1 percent to 30,178.98.

Macro Update:  The Bank of Canada, which lowered interest rates by a quarter point as widely expected, indicated it now expects to keep rates on hold. The Fed also cut rate by 25 basis points, and signaled that another rate cut is unlikely this year. The meeting between U.S. President Donald Trump and Chinese President Xi Jinping concluded, with Trump saying there will be a trade deal "pretty soon." Trump announced that he would reduce fentanyl tariffs on China, helping calm immediate tensions.

Top Movers:  The biggest gainers of the session on the S&P/TSX Composite were Bausch Health Companies Inc (TSX:BHC), which rose 12.53% or 1.03 points to trade at 9.25 at the close. Discovery Silver Corp (TSX:DSV) added 12.03% or 0.64 points to end at 5.96 and Aris Mining Corp TO (TSX:ARIS) was up 8.83% or 1.15 points to 14.17 in late trade.

Our Stance:  Currently, the index is testing a crucial support zone near 30,100. Sustained price action above this level would be essential to maintain market confidence and preserve the broader uptrend. Conversely, a decisive breakdown below 30,100 could indicate short-term bullish exhaustion, potentially leading to a technical pullback toward the next support levels at 29,900 and 29,700, which may serve as buffers against deeper declines.

Commodity Update:  Commodity Update: The U.S. dollar steadied near a three-month high in early Asian trade Friday as markets digested mixed cues from central bank moves, tech earnings, and a tentative U.S.-China tariff truce. Gold rose 0.23% to USD 4,026.50, while silver slipped 0.09% to USD 48.57, and copper gained 0.35% to USD 10,952.00. Brent crude fell 0.51% to USD 64.67, marking its third consecutive monthly decline.

 Technical Update: 

On Thursday, the S&P/TSX Composite Index advanced 34.20 points (+0.11%) to close at 30,178.98, supported by robust trading volumes that underscored sustained investor confidence and reinforced the prevailing bullish momentum. From a technical standpoint, the index continues to exhibit a constructive structure, trading well above its 50-period Simple Moving Average (SMA) a key short-term trend indicator that remains a dynamic support level. Meanwhile, momentum readings remain positive, with the 14-period Relative Strength Index (RSI) holding at 52.89, reflecting ongoing buying interest. Currently, the index is testing a crucial support zone near 30,100. Sustained price action above this level would be essential to maintain market confidence and preserve the broader uptrend. Conversely, a decisive breakdown below 30,100 could indicate short-term bullish exhaustion, potentially leading to a technical pullback toward the next support levels at 29,900 and 29,700, which may serve as buffers against deeper declines.