2026.03.2620:03:21UTC+00TSX Drops 1.5%

The S&P/TSX Composite Index fell 1.5% on Thursday to close at 31,888, as escalating geopolitical tensions and surging energy prices intensified global stagflation fears. Sentiment deteriorated after President Trump warned that Iran must “get serious,” overshadowing earlier optimism about a potential peace agreement.

A 5% jump in Brent crude prices lent support to domestic energy producers, with Suncor Energy and Cenovus Energy each gaining 0.7%. These advances, however, were more than offset by broad-based weakness across financials and miners, as rising Treasury yields weighed on equities.

Among the major banks, Royal Bank of Canada and Toronto-Dominion Bank each declined more than 1.2%, while Bank of Montreal dropped 3.1% and CIBC slid 2.8%. The mining sector also came under heavy pressure: Agnico Eagle Mines fell 1.9%, Barrick Gold lost 3.8%, and Cameco retreated 4%.

In the technology sector, Shopify dropped 2.5% as investors reassessed its growth prospects in light of higher interest rate expectations and heightened geopolitical uncertainty.