S&P/TSX Composite Rises Nearly 200 Points as Oil Prices Surge
Canada’s main stock index saw significant growth on Thursday, significantly influenced by rising oil prices, metals, and technology sectors. The S&P/TSX Composite Index closed up 203.30 points, reaching 30,186.28.
U.S. Markets Experience Positive Trends
In the United States, all major markets also experienced gains. Key figures include:
- Dow Jones Industrial Average rose by 144.20 points, closing at 46,734.61.
- S&P 500 index increased by 39.04 points, reaching 6,738.44.
- Nasdaq Composite gained 201.40 points, finishing at 22,941.80.
Market Insights from Analysts
Ainsley Mackie, a portfolio manager at Verecan Capital Management Inc., cautioned investors to remain grounded despite recent robust market returns. She noted that much of the growth is driven by speculation, particularly surrounding artificial intelligence (AI).
Mackie emphasized the uncertainty around the revenue potential from significant investments in AI by major tech companies, referred to as the “Magnificent Seven.” She advised maintaining a stable portfolio, focusing on less volatile sectors like real estate and healthcare.
Impact of Rising Oil Prices
The crude oil market saw a notable increase, with the December contract rising by US$3.29 to US$61.79 per barrel. This 5.6 percent surge followed the announcement of new sanctions against Russia’s oil industry by U.S. President Donald Trump. Despite this daily gain, oil prices are still down 10 percent for the year.
Major oil companies benefited from this increase, including:
- ExxonMobil, up 1.1 percent
- ConocoPhillips, up 3.1 percent
- Diamondback Energy, up 3.4 percent
In Canada, leading oilsands companies such as Cenovus Energy Inc. and Canadian Natural Resources Ltd. also saw approximately three percent increases. The broader energy subindex rose nearly two percent.
Gold Prices on the Rise
Gold prices rebounded after earlier fluctuations, with the December gold contract gaining US$80.20, reaching US$4,145.60 per ounce. The price of gold has increased around 57 percent in 2025.
Mackie highlighted the significance of gold breaking the US$4,000 per ounce barrier, mentioning both its record highs and recent volatility.
Market Metrics and Currency Trends
The base metals subindex on the TSX rose about 1.5 percent. Additionally, the Canadian dollar closed slightly higher at 71.46 cents US, compared to 71.45 cents US the previous day.
As markets continue to experience volatility, investors are reminded of the rapid changes that can affect their strategies.
