A Berkshire Hathaway Inc. logo is seen above a trading booth on the floor of the New York Stock Exchange on Monday, May 5, 2025. The photo was taken by Richard Drew of the Associated Press.
Canada’s main stock index slid on Monday, pulled down by falling oil prices and rising uncertainty over trade developments. The S&P/TSX composite index ended the day 77.99 points lower, closing at 24,953.52, as energy companies took a hit. A similar trend was seen across U.S. markets, with all major indexes finishing in the red.
Crude oil prices fell sharply to their lowest in four years. The June crude oil contract dropped by $1.16 to settle at $57.13 per barrel. This came after the OPEC+ group, which includes major oil-producing countries, announced plans to increase production—an unwelcome surprise for investors betting on tighter supply.
The energy sector was among the hardest hit, falling by 2.7 percent. Major players like Suncor Energy Inc. and Cenovus Energy Inc. lost over 3 percent each. However, Parkland Corp. stood out from the crowd, gaining more than five percent after U.S.-based Sunoco LP agreed to buy the company in a deal valued at US$9.1 billion, including debt.
Parkland also rescheduled its annual shareholders' meeting from Tuesday to June 24. On that date, shareholders will vote not only on the acquisition but also on competing proposals for board directors—a reflection of ongoing tensions between Parkland and investor Simpson Oil.
Meanwhile, in the U.S., the Dow Jones Industrial Average lost 98.60 points to close at 41,218.83. The S&P 500 fell by 36.29 points to 5,650.38, while the Nasdaq dropped 133.49 points to finish at 17,844.24. These declines ended a nine-day winning streak, as traders waited for key updates on U.S. interest rates and trade negotiations.
Tamsin Wilding, a portfolio manager at Leith Wheeler Investment Counsel, said investors are in “wait-and-watch” mode. All eyes are on the U.S. Federal Reserve, which is scheduled to announce its latest decision on interest rates this Wednesday. Although analysts don’t expect any immediate changes, markets are anxious for clues about the timing of future moves.
There's also growing anticipation around possible shifts in global asset allocations, especially as more investors reconsider their exposure to U.S. dollar assets.
Back in Canada, economists are watching Friday’s upcoming jobs report closely. Unlike the U.S. employment numbers released last week—which showed little change—Canada’s data might begin to reflect the economic toll of recent trade tensions and tariff-related uncertainty. Wilding noted that Canada has felt these effects earlier than many other countries, making it a potential bellwether for what’s to come.
In other market movements, the Canadian dollar dipped slightly, trading at 72.40 cents U.S. compared to 72.46 cents last Friday.
Natural gas prices also fell, with the June contract down 8 cents to US$3.55 per mmBTU. On the upside, gold surged by $79.00 to hit $3,322.30 per ounce, while copper climbed three cents to reach $4.70 per pound.
