TSX Today: What to Watch for in Stocks on Monday, July 6

Stronger metals prices and growing risk appetite pushed the TSX sharply higher on Friday as investors shift their attention today to U.S. services PMI data, movements in commodity markets, and expectations for the upcoming earnings season.

Jitendra Parashar

Author Bio Jitendra Parashar is a financial journalist who has been writing for The Motley Fool Canada since June 2020. With more than 13 years of experience in financial journalism, equity research, and market analysis, he helps investors understand market developments and identify long-term investment opportunities. Before joining The Motley Fool Canada, Jitendra spent several years at Market Realist covering U.S. equities, major economic developments, and developments in the automotive and technology industries. He also worked in commodity and currency research at brokerage firms, gaining insight into how economic trends, central bank decisions, and geopolitical events influence financial markets. Jitendra writes for beginner investors, dividend seekers, and Canadians looking to build wealth over the long term. He also contributes to the daily TSX Today series, explaining key Canadian market developments and highlighting news investors should watch. Based in India, Jitendra follows Canadian and U.S. markets closely. Outside of work, he enjoys travelling in the Himalayas, street and nature photography, and exploring programming and artificial intelligence. Education MBA in Finance and International Business Bachelor's degree in Journalism Areas of Expertise Canadian and U.S. financial markets, long-term equity investing, dividend investing, macroeconomic and geopolitical trends, automotive stocks, emerging technologies, and artificial intelligence. Social Media Profiles LinkedIn Muck Rack Favorite Investment Quote “Simplicity is the master key to financial success.” — John C. Bogle

Published July 6, 9:00 am EDT

Canadian stocks rose for the third consecutive session on Friday as investors continued to rotate into resource and industrial stocks amid strengthening metals prices and improving risk appetite. The S&P/TSX Composite Index climbed by 308 points, or 0.9%, to 35,275, marking its strongest single-day percentage gain in more than two weeks.

Broad-based buying across most major sectors drove the rally, with mining, industrial, technology, and financial stocks leading the advance. Firm precious and base metals prices, along with improving investor sentiment amid easing geopolitical tensions, helped support the commodity-heavy TSX benchmark.

Top TSX Composite movers and active stocks

A consistent recovery in gold and silver prices lifted mining shares like Southern Cross Gold, Discovery Silver, and Wesdome Gold Mines by more than 8% each, making them the top-performing TSX stocks for the day.

GFL Environmental (TSX: GFL) was also among the day’s top gainers on the Toronto Stock Exchange, as its shares climbed 7.6% to $57.19 apiece. This rally in GFL stock came after a Bloomberg report claimed the waste management company is exploring a potential take-private transaction following preliminary interest from several buyout firms.

According to the report, GFL has been working with advisers to evaluate its options, although discussions remain at an early stage and no deal is certain. The report also noted that some potential investors may consider acquiring a minority stake instead of pursuing a full buyout. Investors welcomed the news, betting that takeover interest could unlock additional value for shareholders.

In contrast, Lightspeed Commerce, Empire Company, Thomson Reuters, and Primaris REIT slipped by at least 1.2% each, making them the day’s worst-performing TSX stocks.

Based on their daily trade volume, Telus, Canadian Natural Resources, TC Energy, BlackBerry, and TD Bank were the five most active stocks on the exchange.

TSX today

Commodity prices across the board were mixed in early trading on Monday, pointing to a largely flat opening for the resource-heavy main TSX index today.

While no major domestic economic releases are due, Canadian investors may want to keep an eye on the latest U.S. ISM Services Purchasing Managers’ Index (PMI). This data tracks the health of the U.S. services sector and could provide fresh clues about the strength of economic activity in Canada’s largest trading partner.

Investors will also continue to monitor commodity price movements and any developments on the global trade and geopolitical fronts, which could influence sentiment and direction for the TSX at the start of the week.