News From Multiple Perspectives

TSX gains more than 300 points on basic materials stocks

Published July 5, 2026 at 7:29 PM UTC

Authored by
Every article published on DirectionFreeNews undergoes editorial review by our editorial team. Our editors research publicly available information from multiple trusted news organizations, compare differing perspectives, verify key facts, and publish balanced summaries intended to help readers better understand important events. Our editorial process is designed to reduce editorial bias by considering multiple reputable sources rather than relying on a single viewpoint

On July 3, 2026, Canada's main stock index, the S&P/TSX composite, surged by 308.17 points, closing at 35,274.84. This significant gain was primarily driven by the basic materials sector, which includes mining companies. The rally was further supported by a notable increase in gold prices, with the August gold contract rising by US$61.60 to US$4,187.30 an ounce.

The catalyst for this surge in gold prices was a weaker-than-expected U.S. jobs report. The U.S. economy added 57,000 jobs in June, falling short of the anticipated 100,000 and marking a slowdown from May's hiring pace. This underperformance raised concerns about inflationary pressures, potentially influencing the U.S. Federal Reserve's interest rate decisions.

Allan Small, a senior investment adviser at iA Private Wealth, commented on the situation: "The catalyst for gold prices came in yesterday when we saw a weaker jobs number out of the U.S." He further explained that the subdued job growth could alleviate inflationary pressures, especially considering the recent fluctuations in oil prices due to geopolitical tensions, such as the conflict with Iran.

In the energy sector, the TSX also experienced gains, albeit more modest. The August crude oil contract edged up by nine cents to US$68.78 per barrel. Small noted that discussions between the U.S. and Iran appeared to be on hold, with Iran preparing for the funeral of its Supreme Leader. He added, "There are also some rumblings that Iran is acting tough again, saying that any tankers or ships coming through the Strait have to go through their approved routes through the Strait. There's also rumblings that they're charging tolls, the U.S. is saying that's not true."

The Canadian dollar traded at 70.42 cents U.S., slightly down from 70.52 cents U.S. the previous day. This subtle decline reflects the market's cautious stance amid ongoing global economic uncertainties.

Overall, the day's trading underscored the market's sensitivity to economic indicators and geopolitical developments. Investors are closely monitoring these factors, as they continue to influence market dynamics and investment strategies.

This report by The Canadian Press was first published on July 3, 2026.

— With files from The Associated Press

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)