Toronto’s main stock index rose 1% on Friday ahead of Mark Carney’s appointment as prime minister of Canada, while still set for a weekly loss amid growth concerns from an ongoing trade war.
The Toronto Stock Exchange’s S&P/TSX composite index was up 1.01% at 24,446.46, with a majority of sectors clocking gains.
Carney, a former central banker and political novice, has projected himself as the best person to take on U.S. President Donald Trump, who has repeatedly discussed annexing Canada and escalating tariff wars, potentially risking a recession for Canadians.
TSX’s technology index led the gains, rising 2.3%, boosted by a 5.2% surge in e-commerce firm Shopify.
Financials with the heaviest weighting on the index, jumped 0.9%, with a similar move seen in industrials.
Wall Street also became the source of optimism, with the benchmark S&P 500 index soaring more than 1% on Friday following a selloff earlier in the week.
Toronto stocks slip as tariff jitters keep investors on edge
Despite the day’s gains, the Canadian benchmark index was down 2.2% for the week so far, as Trump’s erratic tariff onslaught and retaliations from Canada and the European Union fueled risk aversion in global markets.
“The uncertainty and confusion that is being generated and emanating from Washington is having ripple effects through the Canadian and U.S. markets. Tariffs are obviously front and centre,” said Brian Madden, chief investment officer at First Avenue Investment Counsel.
Oil prices were stable on Friday after a more than 1% loss in the previous session.
Bucking the trend, capped communications lost 1.2%.
In corporate news, Mattr Corp climbed 10.3% after the material technology company reported its quarterly results.
On the economic front, Canadian wholesale trade grew by 1.2% in January from December, driven by growth in motor vehicles and parts, as well as the building materials and supplies subsectors.
