Index Update:

Partially reversing the losses from the four previous sessions, Canadian stocks moved higher on Friday as reports indicating an upcoming meeting between Iran and the Gulf Cooperation Council members to de-escalate gulf tensions sparked expectations of an earlier reopening of the Strait of Hormuz.

After opening higher than yesterday's close, today the benchmark S&P/TSX Composite index traded positive throughout the session before settling at 35,697.49, up by 191.21 points (or 0.54%).

Macro Update:

Gulf foreign ministers are expected to meet their Iranian counterpart in Oman on Monday as part of efforts to secure support for a temporary arrangement to manage shipping through the strait.

The Bank of Canada maintained the target for its overnight rate unchanged at 2.25% in its September 2026 decision, as expected by markets, but flagged stronger upside risks to inflation.

The USD/CAD Exchange Rate rose to 1.3887 on September 14, 2026, up 0.10% from the previous session. Over the past month, the Canadian Dollar has weakened 0.10%, and is down by 0.81% over the last 12 months.

Top Movers:

The best performers of the session on the S&P/TSX Composite were Boyd Group Services Inc (TSX:BYD), which rose 10.51% or 11.89 points to trade at 125.00 at the close. Meanwhile, Descartes Systems Group Inc (TSX:DSG) added 6.87% or 6.77 points to end at 105.32 and Celestica Inc. (TSX:CLS) was up 6.64% or 29.89 points to 480.23 in late trade.

Our Stance:

From a technical perspective, immediate support is positioned near 35,500. Sustained trading above this level could help stabilize the index and preserve the broader bullish technical outlook, potentially supporting a recovery towards the recent high near 35,800.

Commodity Update:

The dollar remained steady as the yen held near a seven-month high, with investors assessing potential rate hikes from the Federal Reserve and Bank of Japan. Gold declined 0.86% to USD 43,670.10, while silver fell 1.21% to USD 64.41 and copper eased 0.29% to USD 14,186.10. Brent Crude surged 3.50% to USD 108.41 amid fresh Houthi attacks and strikes near the Strait of Hormuz, heightening concerns over regional Supply disruptions and supporting oil prices near annual peaks.

Technical Update:

The S&P/TSX Composite Index advanced 0.54% on Friday to close at 35,697.49, indicating near-term buying interest despite the broader technical weakness. The index continues to trade firmly below its 50-day Simple Moving Average (SMA), which is acting as a key dynamic resistance level and signalling continued technical weakness. The 14-day Relative Strength Index (RSI) stands at 42.73, suggesting weak-to-moderate momentum and limited buying interest. Immediate support is positioned near 35,500. Sustained trading above this level could help stabilize the index and preserve the broader bullish technical outlook, potentially supporting a recovery towards the recent high near 35,800.