FX.co ★ TSX Drops Amid Escalating Trade Tensions

The S&P/TSX Composite Index declined by approximately 0.3%, dropping below the 25,100 level on Thursday, continuing its downward trend for a second consecutive session as investors digested the latest trade news. U.S. President Trump announced the imposition of a 25% tariff on imported vehicles, which is scheduled to commence on April 3, along with an indication of reciprocal tariffs to be revealed the subsequent day. This announcement dashed earlier expectations for selective tariff exemptions and included a cautionary note that even more substantial tariffs might be imposed on the EU and Canada if they orchestrated counteractions. The technology sector was notably affected, with declines in Shopify (-3.4%), Constellation Software (-0.8%), CGI Inc. (-1.1%), and Celestica (-5.6%). The financial and energy sectors also experienced significant downturns. Nevertheless, the losses were partially mitigated by gains in major mining stocks, buoyed by rising bullion prices.