TSX Today: What to Watch for in Stocks on Wednesday, July 29

With the TSX trading at record highs, investors today will keep a close eye on the Federal Reserve’s policy decision, second-quarter earnings, and renewed U.S.-Iran tensions for clues about the market’s next move.

Key Points
  • The TSX Composite rose 0.5% to 35,750 on Tuesday, setting a new record high amid strong corporate earnings, with technology and financial stocks leading gains despite weaker commodity prices.
  • Celestica soared nearly 10% after surpassing earnings expectations and raising its 2026 outlook, while Constellation Software, Air Canada, and Descartes Systems also gained over 6%.
  • Watch for crude oil price movements today amid renewed U.S.-Iran tensions, which could influence the TSX along with the Federal Reserve's interest rate decision and numerous earnings reports from major Canadian companies.

Even as growing hopes of a U.S.-Iran peace deal drove crude oil and metals prices lower, Canadian equities continued their record-setting rally on Tuesday as investors welcomed strong corporate earnings and awaited the U.S. Federal Reserve’s interest rate decision on Wednesday. The S&P/TSX Composite Index advanced 182 points, or 0.5%, to 35,750, reaching another all-time high for a second consecutive session and notching its third straight gain.

On the one hand, mining, energy, and utility stocks remained under pressure with weaker commodity prices and improving risk appetite weighing on these traditionally defensive sectors. On the other hand, strong gains in technology, consumer discretionary, and financial stocks more than offset these losses, pushing the TSX to another record as investors awaited the Fed’s key policy decision.

tsx today

Top TSX Composite movers and active stocks

Celestica (TSX: CLS) was the top-performing TSX stock for the day, with shares jumping by nearly 10% to $492.14 apiece. This rally in CLS stock came after the Canadian technology company posted second-quarter revenue and adjusted earnings above the high end of its guidance ranges and raised its full-year 2026 outlook.

In the June quarter, Celestica’s revenue surged 62% year over year, while adjusted earnings climbed 83% from a year ago. The company now expects 2026 revenue of US$20.5 billion and adjusted earnings of US$11.30 per share, meaningfully up from its previous forecasts. Investor confidence also grew on expectations that Celestica could deliver stronger revenue growth in 2027, driven by strong customer demand, new program wins, and improving component supply, sparking a buying spree in the stock.

Constellation Software, Air Canada, and Descartes Systems were also among the day’s top gainers on the Toronto Stock Exchange, with each jumping by more than 6%.

In contrast, Hammond Power Solutions, AbraSilver Resource, 5N Plus, and Aya Gold & Silver slipped by at least 5.6% each, making them the session’s worst-performing TSX stocks.

Based on their daily trade volume, Telus, Manulife Financial, Ivanhoe Mines, Bank of Montreal, and Royal Bank of Canada were the five most active stocks on the exchange.

TSX today

Crude oil prices bounced back sharply in early trading on Wednesday after reports of renewed military exchanges between the United States and Iran raised fresh concerns about prolonged supply disruptions. If oil prices remain elevated through the session, energy stocks could regain momentum and provide support to the resource-heavy TSX. However, renewed fighting between the United States and Iran may also weaken broader investor sentiment and revive concerns about inflation.

With no major domestic economic releases due this morning, Canadian investors will closely watch the Fed’s latest rate decision and press conference in the afternoon.

As the second-quarter corporate earnings season continues in full swing, several TSX-listed companies, including Whitecap Resources, Kinross Gold, Freehold Royalties, Ivanhoe Mines, GFL Environmental, IGM Financial, Bausch Health, SECURE Waste Infrastructure, ATCO, Cenovus Energy, Capital Power, Canadian Utilities, CGI, and Hudbay Minerals, will announce their latest quarterly results today.

Market movers on the TSX today

Fool contributor Jitendra Parashar has positions in Air Canada, Bank Of Montreal, and Celestica. The Motley Fool has positions in and recommends Constellation Software and Hammond Power Solutions. The Motley Fool recommends Air Canada, Aya Gold & Silver, CGI, Capital Power, Celestica, Descartes Systems Group, Freehold Royalties, and TELUS. The Motley Fool has a disclosure policy.

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