Canada Stocks: TSX pulls back from record high as financial and industrial shares fall

Zijin Gold International

29/07/2026 21:28

Updates at market close
TSX ends down 1.2% at 35,333.78
Financials lose 2.9%; industrials end 1% lower
Energy adds 3.2% as oil settles 6.6% higher
By Fergal Smith
July 29 (Reuters) - Canada's main stock index fell on Wednesday, weighed down by declines for financial and industrial shares, as oil prices jumped and the U.S. Federal Reserve left interest rates on hold.
     The S&P/TSX Composite index .GSPTSE ended down 415.92 points, or 1.2%, at 35,333.78, after posting a record closing high on Tuesday.
Wall Street also fell after the Fed's decision to leave the benchmark interest rate in the 3.50%-3.75% range drew dissents from three policymakers and as AI-related chip stocks added to recent declines ahead of quarterly reports from Microsoft and Meta Platforms.
Heavily weighted financials .SPTTFS fell 2.9%, including declines for Canada's six major banks.
Industrials .GSPTTIN ended 1% lower, with shares of construction and engineering company Aecon Group ARE.TO down 9.1%.
Allied Gold AAUC.TO said its planned C$5.5 billion ($3.90 billion) sale to China's Zijin Gold 2259.HK was terminated after the companies concluded they were unlikely to satisfy closing conditions by the agreed deadline. Shares of Allied Gold tumbled 18.6%.
Energy .SPTTEN was the only major sector to end higher, adding 3.2%, helped by a 4.5% gain for Cenovus Energy CVE.TO. The company raised its 2026 production outlook after reporting a more than threefold jump in second-quarter profit.
The price of oil CLc1 settled 6.6% higher at $84.46 a barrel as airstrikes resumed in the Middle East, adding to worries about dwindling supply as U.S. government data showed domestic crude inventories fell to a multi-year low.
Prime Minister Mark Carney played down the idea of curbing oil supplies to the U.S. to gain leverage in a trade war, saying that would harm Canada's reputation.

(Reporting by Fergal Smith in Toronto and Medha Singh and Sudeshna Ghoshal in Bengaluru ; Editing by Diti Pujara and Rod Nickel)
((fergal.smith@thomsonreuters.com; +1 647 480 7446))