FX.co ★ TSX Sets Record High on Wednesday

The S&P/TSX Composite Index experienced a modest increase of 0.2%, reaching a new all-time high of 27,416 by the close of trading on Wednesday. This upward trajectory was fueled by recent advances in trade agreements and a reduction in domestic economic barriers, which favored Canada's export and resource industries. A key development was President Trump's announcement of a significant trade deal with Japan, which reduces auto tariffs to 15% in exchange for $550 billion in investments directed toward the United States. Additionally, his outreach to EU negotiators has sparked optimism for further US trade agreements anticipated before the August 1st deadline. Within the Canadian market, the energy, financial, and technology sectors saw notable gains, with Brookfield Asset Management rising by 1.9%, Cenovus Energy increasing by 2.3%, and Celestica climbing by 7.5%. In contrast, Canadian National Railway shares fell by 4.1%, as its second-quarter revenue of CAD 3.14 billion did not meet expectations, partly due to a 1.4% reduction in freight volumes. On the economic front, Statistics Canada reported a 0.2% decrease in the Housing Price Index for June, marking the third consecutive month of decline and indicating a deceleration in housing inflation.