TSX Opens Flat Amid Domestic GDP Data and Tech Shares Weigh Down

Canada's main stock index, the TSX, opened flat on Friday, with technology shares leading the decline. However, the subdued opening was offset by weaker-than-expected domestic GDP data, which may signal potential interest rate cuts by the central bank. The S&P/TSX composite index was down 0.04% at 28,423.09 points at 9:30 a.m. ET.

Canada's main stock index, the TSX, opened flat on Friday, with technology shares leading the decline. However, the subdued opening was offset by weaker-than-expected domestic GDP data, which may signal potential interest rate cuts by the central bank. The S&P/TSX composite index was down 0.04% at 28,423.09 points at 9:30 a.m. ET [1].

The financial sector index, representing top lenders in the country, lost 0.22% at market close. Lenders such as TD Bank (TD.TO) and CIBC (CM.TO) followed peers in topping analysts' expectations but still experienced losses [1]. The Bank of Montreal (BMO.TO), the Bank of Nova Scotia (BNS.TO), and the Royal Bank of Canada (RY.TO) also posted stellar earnings, boosting investor hopes that the local economy was improving after the initial impact of tariffs [1].

The energy sector (.SPTTEN) was up 0.4% as gains in crude oil price later in the day reversed losses seen for most of the day in oil and gas shares. However, consumer discretionary shares (.GSPTTCD) led the sectoral losses with a 0.08% fall [1].

The TSX's performance comes amidst ongoing geopolitical tensions and trade negotiations. South of the border, Nvidia's shares were down 0.82% as uncertainty over its China businesses clouded a better-than-expected revenue forecast for the next quarter [1].

Investors are closely watching the upcoming release of second quarter GDP data by Statistics Canada on Friday. The data will provide insights into the health of the economy and potential prospects for a rate cut by the central bank in Canada next month [1].

References:
[1] https://www.reuters.com/markets/europe/toronto-stock-exchange-closes-almost-flat-investors-take-profit-2025-08-28/