Canada Stocks: TSX climbs on energy and mining gains, easing geopolitical tensions

Magellan Aerospace

08/06/2026 15:20

Updates prices and details throughout
TSX up 0.7% 
Energy shares and miners lead gains
BoC rate decision awaited
By Tharuniyaa Lakshmi

    June 8 (Reuters) - Canada's main stock index rose on Monday, as signs of easing tensions in the Middle East lifted sentiment after Iran said its first wave of attacks on Israel had ended, raising hopes of a potential de-escalation in the wider U.S.-Iran war.
At 9:58 a.m. ET, the Toronto Stock Exchange's S&P/TSX composite index .GSPTSE was up 0.7% at 34,674.08 points.
Iran's military announced on Monday that its first wave of attacks on Israel since a ceasefire announced in April was now over, although it threatened to resume the strikes if Israel continued attacks on Lebanon.
"For the markets, they're taking it more in stride now. It's like anything that goes on for a long period of time... the bar is very high to have an effect," said Allan Small, senior investment advisor at Allan Small Financial Group with iA Private Wealth.
Eight of the 10 TSX sectors were in the green, with energy stocks .SPTTEN up 2.3%, leading gains, as oil prices rose around 1%. 
The materials group .GSPTTMT, which includes stocks of metal miners, also gained 0.9%, with 5N Plus VNP.TO, K92 Mining KNT.TO and Ivanhoe Mines IVN.TO up between 3.2% and 5.3%. 
Industrials .GSPTTIN also rose 0.7% as TD Cowen raised price targets on Canadian defence companies, with Magellan Aerospace MAL.TO and AirBoss of America BOS.TO up 6.6% and 5.3% respectively. 
Investors will closely watch the Bank of Canada's interest rate decision due on Wednesday for cues on the policy outlook. 
The Bank of Canada is expected to hold rates steady this month, while traders have priced in a little over one 25-basis-point hike by year-end, according to LSEG data. 0#CADIRPR
"The fact remains that growth is anemic, almost non-existent and along with that costs and prices remain high, pointing to more of a stagflation-type environment. The Bank of Canada is in a tough spot right now," Small said.

 (Reporting by Tharuniyaa Lakshmi in Bengaluru; Editing by Diti Pujara)
 ((tharuniyaa@thomsonreuters.com))