A display board is seen above the New York Stock Exchange trading floor on Tuesday, July 1, 2025. (AP Photo/Richard Drew)
Canada’s main stock market closed higher Thursday, helped by a strong push in the industrial sector. The S&P/TSX composite index rose 109.98 points to finish at 27,082.30. South of the border, U.S. markets followed suit, with gains across the board.
In New York, the Dow Jones Industrial Average climbed 192.34 points to settle at 44,650.64. The S&P 500 added 17.20 points, closing at 6,280.46, while the Nasdaq composite rose by 19.33 points, ending the day at 20,630.66. Notably, the S&P 500 edged past the record it set just last week, rising 0.3%.
Portfolio manager Ian Chong from First Avenue Investment Counsel pointed out that the markets continue to break new ground, despite some shifts in sector strength. He noted that while tech stocks have performed well recently—especially Nvidia, which crossed a US$4 trillion market cap—they weren’t the day’s top performers.
“There’s a visible rotation happening,” Chong explained. “Sectors that lagged in the first half of the year are now picking up momentum.”
Earlier in the week, markets had stumbled slightly due to renewed tariff threats from U.S. President Donald Trump’s administration. A deadline of Wednesday had been set for countries to make trade deals with the U.S., or face heavier import tariffs. However, only two deals—one with the U.K. and another with Vietnam—were finalized since April. The deadline has now been extended to August 1, giving Wall Street a temporary breather.
Chong said the extension is fueling optimism among investors. “With more time on the table, there's hope that additional trade deals will be reached. That’s keeping the market hopeful.”
Most sectors within the S&P 500 ended the day in positive territory. Gains were especially notable among banks and companies that sell directly to consumers. JPMorgan Chase, for instance, rose by 1.4%.
Looking ahead, U.S. banks will officially kick off the corporate earnings season next Tuesday. Chong believes that institutions like JPMorgan, which reports on July 15, are likely to deliver strong numbers.
On the Canadian side, Chong highlighted that the TSX tends to mirror the S&P 500’s movement closely. “There’s a strong connection between the two markets,” he said.
Canada’s industrial sector stood out as a top performer. Manufacturing and infrastructure-related companies such as Bombardier, MDA Space, and WSP showed strong momentum. “These companies are getting a lot of investor attention, and it’s paying off,” said Chong.
Meanwhile, Cineplex Inc. shares rose 1.87% after the company announced that its June box office revenue hit $51.8 million. This marks the first quarter since 2019 where box office earnings exceeded $50 million each month, a sign of recovery for the entertainment sector.
In currency news, the Canadian dollar was trading at 73.08 cents U.S., up slightly from 73.03 cents the day before.
As for commodities, oil prices dipped. The August crude contract fell by US$1.81, settling at US$66.57 per barrel. Gold, on the other hand, saw a modest rise. The August contract added US$4.70, reaching US$3,325.70 an ounce.
