S&P/TSX composite slides more than 100 points, U.S. markets hit new highs

The Toronto Stock Exchange Broadcast Centre is shown in Toronto on June 28, 2013. THE CANADIAN PRESS/Aaron Vincent Elkaim

Canada’s main stock index fell, while U.S. markets edged up to another record high on Thursday as investors wait for more information about the war in Iran. 

“The market, it’s rallied extremely fast and now it’s taking its breath a little, which is very normal in this situation,” said Pierre-Benoît Gauthier, vice-president of investment strategy at IG Wealth Management.

The S&P/TSX composite index was down 103.76 points at 34,052.23.

Meanwhile, in New York, the Dow Jones industrial average was up 115.00 points at 48,578.72. The S&P 500 index was up 18.33 points at 7,041.28, while the Nasdaq composite was up 86.69 points at 24,102.70.

The S&P 500 rose a day after topping its prior all-time high set in January, for its 11th gain in 12 days. U.S. stocks have leaped more than 10 per cent since hitting a low in late March, driven by hopes for an end to the war or something that could avert a worst-case scenario for the global economy. Now, the wait is on to see if such hopes were prescient or just wishful thinking.

Pakistan’s powerful army chief met Thursday with Iran’s parliament speaker as part of efforts to press for an extension to a ceasefire that has paused almost seven weeks of war between Israel, the U.S. and the Islamic Republic.   

Oil prices climbed, showing that caution still remains in financial markets. 

The June crude oil contract was up US$3.04 at US$91.17 per barrel.

The price for a barrel of Brent crude oil, the international standard, rose 4.7 per cent to settle at US$99.39. It’s gone from roughly US$70 before the war to as high as US$119 at times on uncertainty about how long the war will keep oil stuck in the Persian Gulf area and away from customers.

While the situation in the Middle East is not yet resolved, Gauthier said oil prices appear to have stabilized between US$90 and US$100 and “the market is OK with that.” 

“It appears that at these levels it’s not enough to derail the economy, and it’s surely not enough to derail earnings because earnings season has started and so far the commentary has been very strong and the results themselves have been extremely strong,” Gauthier said. 

Big U.S. companies are continuing to deliver profit growth for the start of 2026 that’s even better than analysts expected. Such growth is the lifeblood of the stock market, whose level tends to follow the track of corporate profits over the long term.

Technology stocks also broadly got some support after Taiwan Semiconductor Manufacturing Co., an industry heavyweight, reported stronger revenue and profit for the start of 2026 than analysts expected. 

On the TSX, the consumer non-cyclicals sector led the declines. 

“It’s the defensive sectors that are going down. The consumer staples and the utilities are having a bad day, even the Canadian banks are having a bad day,” Gauthier said. 

“That aligns with the overall theme that the market is moving away from more risk-off classic sectors and themes and back into risk-on themes like big technology.” 

The Canadian dollar traded for 72.94 cents US compared with 72.75 cents US on Wednesday.  

The June gold contract was down US$15.30 at US$4,808.30 an ounce.  

This report by The Canadian Press was first published April 16, 2026.

Daniel Johnson, The Canadian Press. With files from The Associated Press.