Canadian Stocks Edge Higher on Wednesday

index Update:  Canadian stocks rose on Wednesday after falling in the previous session, as U.S. President Donald Trump extended the ceasefire in the U.S.-Iran conflict, easing market concerns. However, gains were limited due to the continued blockade of the Strait of Hormuz. After opening above yesterday's close, the benchmark index-txcx">S&Amp;P/TSX Composite index gave back some ground but traded positive throughout the session before settling at 33,955.11, up by 146.81 points (or 0.43%).

Macro Update:   In Canada, aside from the gulf war, the focus of investors is also glued to the talks on the renewal of Canada-United States-Mexico Agreement on Free Trade. The CUSMA deal that insulates most of the Canadian exports to the U.S. from Trump's tariffs is up for renewal. The three countries must agree by July 1 to keep the deal functioning. Prime Minister Mark Carney selected a new team of advisers to conduct the trade talks with the U.S. to spearhead the negotiations. Data released by Statistics Canada today revealed that new housing prices in Canada fell by 0.20% month on month in March following a 0.30% increase in February, contrary to market forecasts of a 0.20% rise.

Top Movers:  Among the individual stocks, Curaleaf Holdings Inc (25.66%), Rogers Communications Inc (13.55%), Energy Fuels Inc (10.31%), Enerflex Ltd (5.82%), Headwater Exploration Inc (4.23%), and Ces Energy Solutions Corp (4.03%) were the prominent gainers.

Our Stance:  The broader trend suggests consolidation, as price action lacks a decisive breakout. Immediate support is seen near 33,800; a sustained move below this level could weaken sentiment and expose the index to a deeper pullback toward the 33,500 zone.

Commodity Update:  The dollar hovered near a one-and-a-half-week high on Thursday as tensions between the U.S. and Iran and stalled peace efforts lifted oil above USD 100 per barrel, dampening sentiment. Gold slipped 0.63% to USD 4,723.05, silver dropped 2.47% to USD 76.05, and copper declined 1.34% to USD 13,256.50. Brent Crude gained 1.84% to USD 103.73 amid limited shipping activity in the Strait of Hormuz.

Technical Update:

On Wednesday, the S&Amp;P/TSX Composite index gained 146.81 points (0.43%) to close at 33,955.11, though the session tone appeared mixed rather than outright negative. From a technical standpoint, the index continues to hold above its 21-period Simple Moving Average (SMA), which is acting as dynamic support and maintaining a constructive near-term bias. Momentum remains steady, with the 14-period RSI near 58.30, indicating underlying strength while still leaving room for further upside. However, the broader trend suggests consolidation, as price action lacks a decisive breakout. Immediate support is seen near 33,800; a sustained move below this level could weaken sentiment and expose the index to a deeper pullback toward the 33,500 zone.