Canada Stocks: TSX pulls back from record high as Fed sees higher rates

Gildan Activewear

17/06/2026 21:31

TSX ends down 0.8% at 35,125.11
Retreats from record high close on Tuesday
Materials group falls 1.7% as gold drops
Industrials lose 2.1%, with railroad shares down
Updates at market close
By Fergal Smith

    June 17 (Reuters) - Canada's main stock index pulled back from a record high on Wednesday, paced by declines for resource and industrial shares, as a hawkish signal by the Federal Reserve rattled investors.
The Toronto Stock Exchange's S&P/TSX composite index .GSPTSE ended down 264.47 points, or 0.8%, at 35,125.11, after four straight days of gains that resulted in a record closing high on Tuesday.

        U.S. stock indexes posted steeper declines after the Fed left interest rates unchanged but signaled a rate hike later this year, after the first meeting led by new Fed Chair Kevin Warsh.
"The FOMC stuck a more hawkish tone under Kevin Warsh's debut appearance as the new Fed chair," Thomas Feltmate, a senior economist at TD Economics, said in a note. 
Industrials .GSPTTIN fell 2.1% as railroad shares lost ground, while technology .SPPTK ended 1.3% lower.
The materials group .GSPTTMT was down 1.7% as gold XAU= and copper HGc1 prices fell.
Energy .SPTTEN lost 1.6% even as the price of oil CLc1 clawed back some recent declines.
Oil settled nearly 1% higher at $76.79 a barrel after U.S. President Donald Trump said the new ceasefire agreement with Iran was not final and the Iran war could resume if he is unsatisfied.
Nine of 10 major sectors ended lower. The exception was heavily weighted financials which added 0.5%.
Shares of Gildan Activewear Inc GIL.TO recouped some of the previous day's sharp losses, rising 6.5%.

 (Reporting by Fergal Smith in Toronto and Tharuniyaa Lakshmi in Bengaluru; Editing by Shreya Biswas and Alistair Bell)
 ((fergal.smith@thomsonreuters.com; +1 647 480 7446))