Live News CENTRAL_BANK ARTICLE H impact Oct 07, 2026, 08:22 PM UTC

TSX Drops as Elevated Yields Pressure Stocks

The S&P/TSX Composite Index fell 1.7% to close at 35,042 on Wednesday as concerns over high bond yields returned to the forefront, threatening earnings projections for credit-sensitive sectors. Oil prices softened from earlier gains, easing inflation concerns. Still, tight credit conditions persisted, and US Fed FOMC members agreed that higher rates are needed to tame inflation, according to the latest meeting minutes. Canadian sovereign bonds fell, further pressuring credit-sensitive stocks. RBC shed 2.3%, while TD Bank lost 3.3%. Markets are pricing in at least one 25-basis-point Bank of Canada rate hike by year-end. Meanwhile, gold prices declined, weighing on miners, with Agnico Eagle down 2.8% and Barrick losing 3.6%. Energy producers also erased earlier gains amid the oil pullback, with Imperial Oil down 2% and Cenovus losing 1.8%.

SquawkNews Desk 1 updates Updated Oct 07, 2026, 08:40 PM UTC

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08:40:28 PM UTC

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This article was automatically generated by MarketWatch using technology from Automated Insights. Shares of BCE Inc. BCE inched 0.57% higher to C$28.19 Wednesday, in what proved to be an otherwise all-around negative trading session for the Canadian market, with the S&P/TSX Composite Index falling 1.70% to 35,041.86. BCE Inc. closed 22.2% below its 52-week high of C$36.25, which the company achieved on March 17th. Trading volume of 5.1 M shares eclipsed its 50-day average volume of 4.6 M. Data source: Dow Jones Market Data, FactSet. Data compiled October 7, 2026. This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal. (END) Dow Jones Newswires October 07, 2026 16:31 ET (20:31 GMT) Copyright (c) 2026 Dow Jones & Company, Inc. The statements in this document shall not be considered as an objective or independent explanation of the matters. Please note that this document (a) has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and (b) is not subject to any prohibition on dealing ahead of the dissemination or publication of investment research.

7% to close at 35,042 on Wednesday as concerns over high bond yields returned to the forefront, threatening earnings projections for credit-sensitive sectors. Oil prices softened from earlier gains, easing inflation concerns. Still, tight credit conditions persisted, and US Fed FOMC members agreed that higher rates are needed to tame inflation, according to the latest meeting minutes. Canadian sovereign bonds fell, further pressuring credit-sensitive stocks.

3%. Markets are pricing in at least one 25-basis-point Bank of Canada rate hike by year-end. 6%. 8%.