Canada Stocks: TSX rises as Trump's Greenland about-face settles investors' nerves

Celestica

22/01/2026 16:05

Updates throughout, adds details and analyst comments

TSX up 0.4%, led by gold miners

Gold sector index gains 2.5%

Data-center infra firm Celestica's shares hit two-week low

By Utkarsh    Hathi

Jan 22 (Reuters) - Canada's main stock index rose on Thursday, as investor sentiment turned positive after U.S. President Donald Trump withdrew tariff threats against European allies and ruled out using force to acquire Greenland.

At 10:24 a.m. ET, the S&P/TSX Composite Index .GSPTSE was up 0.4% at 33,977.17 points.

Trump, who met NATO Secretary General Mark Rutte on Wednesday, said in a social media post that the U.S. and its NATO allies had a framework for a future deal on Greenland and walked back threats to impose a 10% tariff from February 1 on eight European countries.

The TSX, heavily weighted toward miners, remains sensitive to geopolitical tensions as safe-haven assets including gold and other precious metals dominate its resources sector.

"It's probably cautious optimism. We'll get a bit of a relief rally out of the back of this, but I don't know how long it'll last," said Greg Taylor, chief investment officer at PenderFund Capital Management.

The benchmark's gold sub-index .SPTTGD climbed 2.5% on Thursday, with miner New Gold NGD.TO leading gains after a 10.7% jump. The broader materials index .GSPTTMT, which included mining stocks, added 1.9%.

Spot gold XAU= was up 0.7%, while silver XAG= gained 2.6%.

Overall gains on the TSX were also supported by Wall Street advances, with investors assessing fresh economic data that showed a resilient U.S. economy.

The energy index .SPTTEN slipped 1%, however, as oil prices LCOc1, CLc1 fell after Trump toned down threats against Greenland and Iran. O/R

Tech shares .SPTTTK led losses, down 1.4%, with data-center infrastructure provider Celestica CLS.TO sinking 8% to a two-week low.

(Reporting by Utkarsh Tushar Hathi; Editing by Jonathan Ananda)

((utkarshtushar.hathi@thomsonreuters.com))