Canadian stocks ticked higher on Monday

Index Update:  After opening just below the previous week's close, today the benchmark S&P/TSX Composite Index held the momentum gained earlier in the session throughout the day before settling at 33,090.96, up by 50.41 points (or 0.15%). Notably, this is a new record high for the index today.

Macro Update: U.S. President Donald Trump has hardened his stance in his pursuit for Greenland, an autonomous nation under the control of Denmark. Canadian Prime Minister Mark Carney has stated, "it is a serious situation, and we are concerned about the escalation" and added that Greenland is protected through NATO and Canada is committed to work with the allies. Reportedly, Carney is considering sending Canadian forces to Greenland for NATO military exercises. The data released by Statistics Canada showed that the headline inflation rate rose to 2.40% in December 2025 from 2.20% of the previous month, the highest in three months. The previous year, Federal Government implemented a tax break which brought some prices down. Consumer Price Index in Canada decreased 0.20% in December of 2025 over the previous month. Annual core inflation eased to 2.80% in December 2025 from 2.90% of the previous month. Month-over-month, the core consumer prices fell by 0.40%. CPI median cooled to 2.50% from 2.85 in November while CPI-Trim decreased to 2.70% from 2.90%.

Top Movers:  Among the individual stocks, Iamgold Corp (9.73%), G Mining Ventures (5.47%), Silvercorp Metals Inc (5.21%), and Dundee Precious Metals Inc (4.80%) were the prominent gainers.

Our Stance:  Price action is currently consolidating near the important 33,000 support zone; holding above this level is essential to maintain positive sentiment and the broader bullish bias. However, a decisive break below 33,000 could weaken near-term momentum and trigger a corrective move toward the 32,800–32,700 support area.

Commodity Update:  On Tuesday, the U.S. dollar stayed under pressure while U.S. Treasury yields climbed to their highest level in over four months, as renewed trade-war concerns weighed on risk sentiment and triggered selling in U.S. assets. Gold advanced 1.72% to USD 4,673.50 and silver gained 4.85% to USD 92.83, while copper slipped 0.72% to USD 12,885.20. Brent crude edged up 0.30% to USD 64.13, supported by stronger-than-expected economic growth data from China and ongoing focus on President Donald Trump’s tariff-related remarks.

Technical Update:

The S&P/TSX Composite Index posted solid gains on Monday, climbing 50.41 points (+0.15%) to close at 33,090.96. The advance was supported by strong trading volumes, underscoring healthy investor participation and reinforcing the prevailing bullish momentum. Technically, the index continues to exhibit a constructive upward structure, trading comfortably above its 50-period Simple Moving Average (SMA), which remains a key dynamic support for the ongoing uptrend. Momentum indicators are favorable, with the 14-period RSI at 74.15, reflecting sustained buying interest. Price action is currently consolidating near the important 33,000 support zone; holding above this level is essential to maintain positive sentiment and the broader bullish bias. However, a decisive break below 33,000 could weaken near-term momentum and trigger a corrective move toward the 32,800–32,700 support area.