TORONTO — Losses in basic materials and consumer cyclicals helped drive Canada's main stock index lower on Thursday, while U.S. markets were mixed.
“I think today's a day where not a lot of macro stuff is coming out, so it's been more news-driven on some of these individual stocks,” said Kevin Burkett, portfolio manager at Victoria-based Burkett Asset Management.
The S&P/TSX composite index was down 44.15 points at 27,372.26.
Teck Resources Ltd. was one of the largest downside contributors on the TSX, finishing more than 8.6 per cent lower after the Vancouver-based miner reported its second-quarter earnings and lowered its 2025 copper production guidance.
"Demand for chemicals, demand for basic materials is starting to reflect maybe an economy that's changing gear,” Burkett said.
Meanwhile, the consumer non-cyclicals and real estate sectors were among the bright spots on the TSX.
Loblaw Cos. Ltd. finished more than two per cent higher after the company reported its second-quarter earnings, saying a slew of new discount stores helped push profit higher.
“I think what we're seeing is that Loblaws has, for some criticism it gets from time to time, done a very good job of passing increasing costs along to end consumers, which reflects stability of end markets when you're talking about grocery store businesses,” Burkett said.
Loblaw also announced a four-for-one stock split, citing continued affordability and accessibility of its shares for investors. Over the past year, Loblaw shares have risen more than 30 per cent to trade just above $220.
In New York, the Dow Jones industrial average was down 316.38 points at 44,693.91. The S&P 500 index was up 4.44 points at 6,363.35, while the Nasdaq composite was up 37.94 points at 21,057.96. The S&P 500 added 0.1 per cent to its all-time high set the day before, while the Nasdaq composite rose 0.2 per cent to its own record.
Alphabet climbed one per cent after the company behind Google and YouTube delivered a fatter profit for the latest quarter than analysts expected. It’s leaning more into artificial intelligence technology and said it’s increasing its budget to spend on AI chips and other investments this year by US$10 billion to US$85 billion.
An 8.2 per cent drop for Tesla kept the market in check. Elon Musk’s electric vehicle company reported results for the spring that were roughly in line with or above analysts’ expectations, and Musk is trying to highlight Tesla’s moves into AI and robotaxis.
“Tesla continues to wear fallout from a close and now fractured relationship with U.S. President Donald Trump,” Burkett said.
Stocks have broadly been rallying for weeks on hopes that Trump will reach trade deals with other countries that will lower his stiff proposed tariffs, along with the risk that they could cause a recession and drive up inflation.
Ahead of the looming Aug. 1 tariff deadline, when a pause on a slew of U.S. tariffs is set to expire, Burkett said he has concerns.
"I think everyone is surprised that it's July 24 and we still have this tariff problem hanging over all of us," he said.
The Canadian dollar traded for 73.37 cents US compared with 73.48 cents US on Wednesday.
The September crude oil contract was up 78 cents US at US$66.03 per barrel. The August gold contract was down US$24.10 at US$3,373.50 an ounce.
This report by The Canadian Press was first published July 24, 2025.
— With files from The Associated Press.
Companies in this story: (TSX: GSPTSE, TSX: CADUSD, TSX: L, TSX: TECK. B)
Daniel Johnson, The Canadian Press
