Here are five things you need to know this morning
TSX winning streak continues: The TSX’s remarkable run just keeps on going. Canada’s leading stock market index hit an all-time high last week and topped the 26,000 point level yesterday, moving higher for 10 straight sessions, the longest winning streak since 2021. It is now up more than five per cent so far this year – and has gained more than 21 per cent from its low of last June. Analysts at Bloomberg Intelligence note that this is happening while most of the index’s constituents remain well below their peaks – leaving room for the rally to broaden. A relatively high share of materials stocks hit new records, while nearly all major banks and energy firms continue to lag. As well, the rally is occurring despite the economic uncertainty created by U.S trade tariffs.
Canada Goose cites trade uncertainty: Those trade tensions are affecting Toronto-based parka-maker Canada Goose. The company says it will not be providing a financial outlook for its current fiscal year, citing “ongoing macroeconomic uncertainty and dynamic consumer spending patterns brought on by the unpredictable global trade environment.” Despite the cautious outlook, the company’s shares traded sharply higher in the premarket thanks to a better-than-expected performance in its latest quarter. Revenue and profit topped estimates, driven by a strong performance from its direct-to-consumer channel.
U.S. assets drive CPPIB return: The Canada Pension Plan Investment Board posted a return of 9.3 per cent in its latest fiscal year, boosted by double-digit gains in its investments in credit, private equity and stocks. The year ended two days before U.S. President Trump unveiled his new global tariff policy, which set off market turmoil. Bloomberg News notes U.S. assets have become nearly half of Canada’s national pension fund, despite pressure to invest more domestically. CPPIB’s total exposure to the U.S. market grew to 47 per cent of its $714 billion. That’s up from 36 per cent two years earlier. Canadian assets are 12 per cent of the fund. Amanda Lang will be speaking with John Graham, president and CEO of CPPIB, this weekend on Taking Stock.
Target slips, Lowe’s rises: Shares of Target traded lower in the pre-market after the U.S. discount retailer cut its sales forecast due to a weaker-than-expected quarter. The company says it’s facing consumer weakness and uncertainty over tariffs. Target has not ruled out raising prices where necessary. The company is adjusting its full year outlook as it expects the weakness to continue. Meanwhile shares of Lowe’s traded higher in the pre-market. The home improvement retailer reported a decline in comparable sales of 1.7 per cent, which was less than the market had expected. The growth in Lowe’s pro-business for contractors and online sales helped offset unfavorable weather in the quarter. Despite tariff uncertainty, Lowe’s is maintaining its outlook for the year.
G7 officials meet in Banff: We are also watching events in Banff, Alberta. Over the next two days, top finance officials from some of the world’s largest economies are meeting there to talk about pressing global financial issues in hopes of finding consensus amid tariff tensions. It’s a prelude to next month’s G7 Leaders’ Summit in nearby Kananaskis, what the finance ministers and central bank governors attending this week’s meetings manage to agree on will set expectations for what could be accomplished in June. Finance Minister Francois-Philippe Champagne and Bank of Canada Governor Tiff Macklem are leading the meetings, which are being framed by the Canadian delegation as an opportunity to discuss issues impacting global economic stability and growth. We will be speaking with reporters from CTV News and Bloomberg News today and tomorrow for updates on the talks.
