Pedestrians were seen passing outside the New York Stock Exchange in New York City. (Photo: Yuki Iwamura/AP)
Canada’s stock market ended slightly lower on Friday, closing a quiet week of trading with little economic news to stir investor sentiment. The S&P/TSX composite index fell 8.43 points, ending the day at 26,497.57.
In contrast, U.S. stock markets offered a mixed picture. The Dow Jones Industrial Average inched up 35.16 points to 42,206.82. Meanwhile, the S&P 500 slipped by 13.03 points to 5,967.84, and the Nasdaq fell 98.86 points to close at 19,447.41.
This lull followed the Juneteenth holiday on Thursday, which had kept U.S. markets closed. With only one trading day left before the weekend, investors largely stayed on the sidelines.
“There wasn’t much driving the market today,” said John Zechner, chairman of J. Zechner Associates. “There was no major economic data or earnings news, and not much happening on the corporate front either.”
The calm trading pace comes after months of dramatic swings in global markets, and some experts believe this momentary quiet could be short-lived.
Global tensions—especially the Israel-Iran conflict—briefly shook oil markets earlier this month. While fears of a disrupted oil supply lingered, markets stabilized as U.S. President Donald Trump announced he would make a decision within two weeks about a potential American response. Until then, investors appear to be waiting it out.
Zechner added that the absence of constant trade-related headlines from Washington has also given the market a brief chance to catch its breath. Still, he warns, the underlying uncertainties remain unresolved.
“It’s hard to say if this is a real calm or just a pause before things heat up again,” he said. “We still have the July 9 deadline looming for the U.S. to end its pause on retaliatory tariffs, and the budget bill hasn’t cleared the Senate yet either.”
These lingering questions have many traders reluctant to make bold moves. Zechner predicts the final week of the quarter will likely remain quiet, as many firms begin to wrap up their books ahead of the summer lull.
Looking ahead, one key report expected to capture investor attention next week is Canada’s inflation data for May, scheduled to be released on Tuesday. Economists expect the annual inflation rate to have risen slightly to 1.8%.
Earlier this week, the U.S. Federal Reserve decided not to change interest rates, despite signs of slowing economic growth. That decision may reflect caution as policymakers wait to see how trends evolve.
Meanwhile, the Canadian dollar held steady, trading at 72.84 cents U.S., only slightly down from 72.87 cents on Thursday.
In commodities, crude oil prices ticked up 34 cents to settle at US$73.84 per barrel. Natural gas prices dropped 14 cents to US$3.85 per mmBTU. Gold slipped US$22.40 to US$3,385.70 an ounce, and copper declined by two cents to US$4.83 a pound.
