TSX Renews Record High on Mining Strength

Index Update:  The S&P/TSX Composite Index climbed 0.18% to close at a fresh all-time high of 32,058.73 on Tuesday, extending its momentum as commodity producers continued to drive gains. Strength in metals was the key catalyst, reflecting firm copper and gold prices that supported Canada’s resource-heavy market. Gains were more muted after stronger-than-expected US GDP data reduced expectations for faster and deeper monetary easing, weighing on technology stocks.

Macro Update :  U.S. Futures Dip After Record Close: U.S. equity futures edged lower after the S&P 500 logged another record close. With the holiday-shortened session ahead, investors stayed cautious despite the market’s recent momentum.

Decent U.S. Growth, Rate Cut Bets Stay Alive: Q3 U.S. GDP grew 4.3% year over year, the fastest pace in two years. Even so, markets still expect easing from the Federal Reserve next year, as inflation cools and policymakers remain split on how tight policy should be.

Bond Yields Ease Despite Hot GDP: The U.S. 10-year Treasury yield pulled back toward 4.16%. Investors continue to position for future rate cuts, even as strong growth gives cover to more hawkish voices at the Fed.

Top Movers and losers:  The biggest gainers of the session on the S&P/TSX Composite were Bausch Health Companies Inc (TSX: BHC), which rose 4.58%. NFI Group Inc (TSX: NFI) added 4.20% and Birchcliff Energy Ltd. (TSX: BIR) was up 4.13%. Biggest losers included Strathcona Resources Ltd (TSX: SCR), which fell 15.40%. Silvercorp Metals Inc (TSX: SVM) declined 3.83% and Lithium Americas Corp (TSX: LAC) down 3.12%.

Our Stance:  The index remains in a constructive uptrend, trading comfortably above its 50-period SMA, which continues to act as a key dynamic support. The 14-period RSI at 67.91 indicates healthy buying interest without signalling overbought conditions. Immediate support is seen near 31,600, while a decisive break below 31,400 could open the door for a short-term pullback toward the 31,200–31,100 zone.

Commodity Update:  The U.S. dollar moved toward its weakest annual performance in over 20 years as investors bet the Federal Reserve could cut rates further in 2026, while some global peers eye hikes. Commodities strengthened, with gold rising 0.12% to USD 4,513.15, silver up 1.28% to USD 72.05, and copper gaining 0.40% to USD 12,101. Brent crude edged 0.10% higher to USD 62.42, supported by U.S.–Venezuela tensions and resilient U.S. growth, despite thin holiday trading volumes.

Technical Update:  The S&P/TSX Composite Index rose 58.63 points, or 0.18%, to close at 32,058.73 on Tuesday, supported by strong trading volumes that reflected solid investor participation and ongoing bullish momentum. The index remains in a constructive uptrend, trading comfortably above its 50-period SMA, which continues to act as a key dynamic support. The 14-period RSI at 67.91 indicates healthy buying interest without signalling overbought conditions. Immediate support is seen near 31,600, while a decisive break below 31,400 could open the door for a short-term pullback toward the 31,200–31,100 zone.