Canadian Stocks Pull Back Amid Profit Taking After Record Opening

(RTTNews) - Canadian stocks fell modestly on Tuesday despite opening above the 30,000 mark for the first time and moving further to scale an all-time peak as investors resorted to profit taking.

After opening at 30,005.73, the benchmark S&P/TSX Composite Index progressed to a new intraday high of 30,066.60 within a couple of hours. Then the index turned lower to trade firmly negative and closed at 29.815.63, down by 143.35 points (or 0.48%).

Four of the 11 sectors posted gains today with Energy sector leading the pack.

Canadian Prime Minister Mark Carney is working hard to rewrite the nation's priorities following US President Donald Trump's decision to impose tariffs on virtually all Canadian goods, exempting only those that are compliant with the Canada-US-Mexico Agreement. The duties have affected the steel, aluminum, automobile and softwood lumber sectors.

While Canadian officials were seeking a negotiated resolution to the trade war with the US, the fate of "reciprocal tariffs" imposed by Trump itself now lies in the hands of the US Supreme Court after a lower court of appeals deemed them as "illegal."

Days before, Carney visited Mexico to sign new deals to strengthen the economic ties. Both nations have been affected by Trump's tariffs.

Yesterday, addressing an international audience at the Council on Foreign Relations in New York City, Carney pitched Canada as a reliable trading partner that has "what the world wants" at a time of political and economical turbulence.

On the economic front, the day was uneventful except for data released by Statistics Canada today which revealed that new housing prices fell 0.3% month-over-month in August, marking the fifth consecutive monthly decline.

Following three consecutive holds, the Bank of Canada resumed its rate cutting cycle in its meeting last week.

On September 17, the central bank cut its benchmark interest rate by 25 basis points to 2.5%. The rate cut was largely expected by the market.

A 1.6% contraction in GDP during the second quarter of 2025 and a 27% decline in exports along with a cooling employment market prompted the BoC to initiate the easing.

In a separate development, Trump signed a proclamation on Friday mandating employers to pay a whopping $100,000 for a H1-B visa.

Experts feel that Trump's move could give Canadian companies an edge over the US in attracting skilled foreign work force.

Major sectors that gained in today's trading were Energy (1.25%), Healthcare (1.09%), Consumer Staples (0.73%), and Utilities (0.40%).

Among the individual stocks, Vermillion Energy Inc (4.59%), Arc Resources Ltd (3.11%), Premium Brands Holdings Corp (1.63%), and Brookfield Infra Partners (1.07%) were the prominent gainers.

Major sectors that lost in today's trading were Consumer Discretionary (0.40%), Real Estate (0.65%), Industrials (1.32%), and IT (2.96%).

Among the individual stocks, Pet Valu Holdings Ltd (4.22%), Aritizia Inc (2.38%), Atkinsrealis Group Inc (9.12%), Finning Intl (6.11%), and Firstservice Corp (1.76%) were the notable losers.

Energy Fuels Inc (7.06%) and Secure Energy Services Inc (4.01%) were among the prime market-moving stocks today.