Canadian stocks soared on Tuesday

Index Update:  After opening above yesterday's close, today the benchmark S&P/TSX Composite  Index gained momentum to trade firmly positive throughout the session before settling at 32,768.04, up by 833.10 points (or 2.61%).

Macro Update:  Data released by Statistics Canada today revealed that Canadian Gross Domestic Product expanded by 0.20% in February of 2026, according to a flash estimate. Higher output in manufacturing, mining, quarrying, and financial services offset contractions in agriculture and forestry. While maintaining its benchmark policy rate steady at 2.25% on March 18, the Bank of Canada signaled that it was adopting a "wait-and-watch approach" to gauge how the Iran war and ensuing oil shock will affect inflation and economic growth. The next interest rate decision by the BoC is set to be announced on April 29.

Top Movers:  Among the individual stocks, Curaleaf Holdings Inc (13.64%), G Mining Ventures Corp (13.64%), Novagold Res Inc (11.97%), Ssr Mining Inc (11.91%), Equinox Gold Corp (11.49%), Lundin Mining Corp (10.72%), and Bausch Health Companies Inc (7.12%) were the prominent gainers.

Our Stance:  Momentum indicators remain subdued, with the 14-period Relative Strength Index (RSI) near 51.81, indicating only mild strength. On the downside, immediate support is placed around 32,600; a break below this level could extend consolidation toward the 32,300 zone in the near term.

Commodity Update:  The U.S. dollar declined on Wednesday as hopes grew that the U.S.-Israel conflict with Iran may prove shorter than initially feared. However, the dollar remained on track for its strongest quarter since the fourth quarter of 2024, supported by lingering safe-haven demand. Gold climbed 0.75% to USD 4,713.50, Brent crude rose 1.56% to USD 105.57, copper gained 0.90% to USD 12,462.90, while silver slipped 0.73% to USD 74.37 during trading.

On Tuesday, the S&P/TSX Composite Index surged 833.10 points (2.61%) to close at 32,768.04, reflecting strong buying interest. Despite the recent pullback, the broader market structure still suggests a phase of healthy consolidation rather than a definitive trend reversal. From a technical standpoint, the index continues to trade below its 50-period Simple Moving Average (SMA) on the daily chart, which is acting as dynamic resistance and keeping the near-term outlook cautious. Momentum indicators remain subdued, with the 14-period Relative Strength Index (RSI) near 51.81, indicating only mild strength. On the downside, immediate support is placed around 32,600; a break below this level could extend consolidation toward the 32,300 zone in the near term.