Equities in Toronto followed their American cousins into the stratosphere Tuesday, as investors took good vibes from the prospects of (yet another) opening of the Strait of Hormuz
The TSX soared 575.45 points, or 1.6%, to finish Tuesday at 35,801.59.
The Canadian dollar retreated 0.10 cents at 71.10 cents U.S.
Markets in Canada were closed Monday for Civic Holiday.
Investors were also ?digesting second-quarter results from specialty semiconductor producer 5N ?Plus, which topped ?earnings estimates late on Monday.
5N Plus shares waned $2.79, or 8.6%, to $29.79.
Meanwhile, at least three brokerages downgraded Telus after the telecom provider's ?quarterly results. Telus recovered its wings and picked up a penny to $13.39.
A host of energy firms and miners including Suncor Energy and Orla Mining, among others, are set to report quarterly results after the bell.
Suncor stumbled $3.35, or 3.6%, to $90.79, while Orla gained 82 cents, or 7.3%, to $13.46.
Among tech firms in the upper echelons, Celestica popped $60.14, or 13%, to $524.01, while Firan Technology captured $2.20, or 9.6%, to $25.16.
Elsewhere in resources, Endeavour Silver zoomed $1.21, or 11.5%, to $11.72, while Aya Gold charged ahead $4.64, or 16.9%, to $32.18.
Elsewhere in energy, Imperial Oil sank $2.18, or 1.2%, to $179.56.
On the economic beat, in June, Canada's merchandise exports increased 0.4%, while imports edged up 0.2%. As a result, Canada's merchandise trade surplus with the world widened slightly from $3.7 billion in May to $3.9 billion in June.
Elsewhere, the Markit Canada Manufacturing index rose to 53.5 in July from 52.2 in June and 53 in July 2025.
ON BAYSTREET
The TSX Venture Exchange revived 31.76 points, or 3.9%. to 898.89.
Seven of the 12 TSX subgroups were positive by the closing bell, led by information technology, up 7.7%, materials, acquiring 5.5%, and gold, brighter 5.3%.
The five laggards were weighed most by energy, down 2.7%, health-care, off 2.2%, and utilities off 0.8%.
ON WALLSTREET
Stocks had a banner day Tuesday, with the S&P 500 and Dow Jones Industrial Average scaling to fresh record highs, thanks to strong earnings and another decline in oil prices driven by hope that the Strait of Hormuz could be reopened.
The 30-stock index shot higher 907.53 points, or 1.7% to greet the closing bell at 54,085.94, improving on Monday’s new record. The index was led by a 6% rise in Caterpillar.
The much-broader hiked 135.99 points, or 1.8%, to 7,736.49
The NASDAQ Composite raced 671.1 points, or 2.6%, to 26,584.99.
Beyond tech, which jumped 4%, other parts of the market saw solid gains. Financials advanced 1%, led by key stocks like Goldman Sachs, which gained more than 3%. Industrials and materials rose nearly 2% apiece.
Treasury Secretary Scott Bessent said in an interview that “we are in talks with the Iranians.” He then added, “There is a chance we may have a deal today or tomorrow to open the Strait and move towards a more normalized position in this conflict.”
Palantir posted blowout results for the second quarter, which CEO Alex Karp described as “otherworldly” as a result of artificial intelligence sovereignty demand.
Notably, the company’s commercial revenue jumped 149% to $764 million. Karp also said that the “sovereign AI revolution makes us very optimistic about the future.”
Other tech names followed Palantir higher. Micron Technology gained 7%, while Marvell Technology advanced 12%.
Caterpillar similarly reported better-than-expected Q2 numbers as well as upped its revenue growth guidance, with the industrial giant noting strong demand for its equipment as the AI data center buildout ramps up across the country.
The company also said its tariff costs outlook for the full year should come in at the lower end of its previously expected range.
Investors are closely watching SpaceX, which is set to report its first quarterly earnings as a public company later. The rocket company’s share price was up 3% during Tuesday’s session.
Prices for the 10-year Treasury rose, lowering yields to 4.63%. Treasury prices and yields move in opposite directions.
Oil prices cratered $4.51 to $75.83 U.S. a barrel.
Gold prices spiked $48.20 to $4,138.70 U.S. an ounce.
