The S&P/TSX Composite Index slipped 0.7% to close at 35,532 on Tuesday, weighed down by sharp losses in Shopify and weakness in mining shares. Shopify tumbled 8% after its earnings release revealed slower-than-expected growth in gross merchandise volume and subscription revenue.
Mining stocks surrendered earlier gains as prices for gold, silver, and copper retreated. Agnico Eagle declined 1.8%, while Barrick fell 2.2%. Elsewhere, Thomson Reuters dropped 9% amid investor concern that rising AI-related expenditures could pressure profit margins.
Most major banks traded broadly flat, and a modest rebound in oil prices reignited worries over energy-driven inflation. Meanwhile, Bank of Canada Governor Tiff Macklem sought to reassure markets that the government’s current spending plans are not exacerbating inflationary pressures. His remarks came ahead of Thursday’s federal budget, with the fiscal deficit expected to come in at roughly 2% of GDP.