Investing.com - Canada’s main stock exchange ticked lower on Monday as investors gauged the outlook for U.S. President Donald Trump’s tariff policy and looked ahead to fresh corporate earnings this week.
By 10:30 ET, the S&P/TSX 60 index had slipped by 5.7 points, or 0.4%, having gained 1% in Friday’s trading.
The Toronto Stock Exchange ’s composite index fell by 93.9 points or 0.4% on Monday. The index climbed by 235.96 points, or 1.0%, on Friday, notching its highest closing level since April 2 and echoing a similar step higher on Wall Street. The average moved up by 1.3% for the week.
Canadian Prime Minister Mark Carney has said he will speak with Trump in Washington on Tuesday, but noted that he expects the discussions will be "difficult but constructive." The ire of many Canadians, raised in large part by combative comments from Trump, helped to underpin a victory in parliamentary elections last week for Carney’s Liberals.
In the news, Canadian giant Parkland Fuel Corporation (TSX: PKI ) announced an agreement to be acquired by Sunoco LP (NYSE: SUN ) for $9.1 billion. Sunoco announced plans to keep Parkland’s Calgary headquarters and maintain Canadian employment levels.
U.S. stocks drop
U.S. stock indexes edged lower on Monday, as investors eyed a barrage of headlines from Trump and focused in on a slate of corporate earnings and central bank announcements this week.
By 10:30 ET, the Dow had dipped by 59.5 points, or 0.1%, the S&P 500 had fallen by 32 points, or 0.6%, and the Nasdaq had slipped by 132.9 points, or 0.7%.
The main averages rose in the prior session, bolstered by data showing stronger-than-anticipated job growth in April, while the unemployment rate was unchanged at 4.2%. The figures came after an advance reading from the Commerce Department found that the U.S. economy shrank in the first quarter largely because of a tariff-related surge in imports.
Meanwhile, China said that it was mulling an offer to discuss Trump’s steep 145% levies. Beijing has responded to the measure with 125% duties of its own on U.S. imports.
Analysts will be pouring through services sector activity data on Monday, as well as interest rate decisions from the Federal Reserve, the Bank of England and others later this week.
Results are also due out from a plethora of companies, including Ford Motor (NYSE: F ), Palantir Technologies Inc (NASDAQ: PLTR ), Advanced Micro Devices (NASDAQ: AMD ), Walt Disney (NYSE: DIS ), ConocoPhillips (NYSE: COP ), and Coinbase (NASDAQ: COIN ).
Early Monday, Onsemi (NASDAQ: ON ) stock fell despite the company reporting first-quarter results that beat analyst expectations and issued an upbeat guidance for the current quarter. Though the semiconductor company beat analyst expectations, results were still disappointing, as revenue and margin declines worried investors.
In individual stocks, Trump’s announcement of new 100% tariffs on movies produced outside the U.S. weighed on shares in Netflix (NASDAQ: NFLX ), Disney and Warner Bros. Discovery (NASDAQ: WBD ) in premarket U.S. trading.
Oil slumps on OPEC+ production hike
Oil prices fell sharply on Monday after the OPEC+ producer group signaled over the weekend that it will further increase output in the coming months.
The prospect of higher supplies and weakening demand dented crude, which was already nursing steep losses so far in 2025. Monday’s losses put oil back in sight of a four-year low hit in early-April.
Brent oil futures for June fell 2..3% to $59.87 a barrel, while West Texas Intermediate crude futures declined 2.6% to $56.77 per barrel by 10:40 ET.
The Organization of the Petroleum Exporting Countries and its allies -- a group known as OPEC+ that makes up a bulk of global oil production -- agreed to raise output by 411,000 barrels per day from June, during a meeting over the weekend.
The uptick is nearly three times the volume that was initially signaled by OPEC+, and will see key member states Saudi Arabia and Russia increase production.
Gold seen outperforming silver , Goldman Sachs (NYSE: GS ) says
Gold is anticipated to continue its recent outperformance of silver thanks in part to solid demand from central banks for the yellow metal, analysts at Goldman Sachs have said.
Slowing solar production in China due to oversupply, as well as elevated risks of a possible recession, are also tipped to bolster bullion over silver, the analysts argued.
Spot gold has soared by more than 26% so far this year and touched an all-time peak, as uncertainty around Trump’s trade agenda burnished its traditional safe-haven appeal and lifted flows into gold-backed exchange traded funds. Silver prices, meanwhile, have increased by 12% year-to-date.
On Monday, gold had jumped by 2.4% to $3,322.00 by 10:40 ET. Gold Spot gained 2.3%, moving to $3,314.23.
(Scott Kanowsky also contributed to this article)