TSX Today: Why Canadian Stocks Could Rally on Monday, August 26

Surging crude oil, gold, and silver prices and growing hopes about rate cuts in the U.S. could take the TSX Composite benchmark to new heights today.

| More on:

Canadian stocks rallied sharply on Friday after the Federal Reserve Chair Jerome Powell, during his speech at Jackson Hole, hinted that the U.S. central bank is likely to start slashing interest rates in the near term, saying, “The time has come for policy to adjust.” Investors’ positive reaction to these comments and strengthening commodity prices helped the S&P/TSX Composite Index climb by 249 points, or 1.1%, for the day, reaching 23,286, a fresh all-time high.

While all key market sectors ended the day with handsome gains, the TSX rally was mainly led by notable advances in real estate, mining, and technology stocks.

tsx today

Top TSX Composite movers and active stocks

Denison Mines (TSX: DML) jumped by nearly 13% to $2.29 per share, making it the session’s top-performing TSX stock. These solid gains in DML stock came after Kazatomprom, the world’s largest uranium producer, lowered its 2025 production target by 17% due to project delays and sulfuric acid shortages.

Investors expect a reduction in Kazatomprom’s union production, which may lead to an increase in the uranium price. This factor, along with the broader market optimism, could be the two primary reasons for recent big gains in Denison Mines stock.

NexGen Energy, Canfor, and Interfor were also among the top performers on the Toronto Stock Exchange, with each surging by more than 7%.

On the flip side, Restaurant Brands International and Quebecor slipped by at least 1.3% each, making them the day’s bottom performers on the Toronto Stock Exchange.

Based on their daily trade volume, Manulife Financial, Suncor Energy, Great-West Lifeco, Canadian Natural Resources, and Enbridge stood out as the most active stocks on the exchange.

TSX today

Commodity prices across the board were bullish early Monday morning, pointing to a higher open for the resource-heavy main TSX index today.

While no major economic releases are due this morning, growing hopes about interest rate cuts in the United States could continue to help stocks trade on a firm note.

In addition, Canadian bank stocks are likely to remain volatile this week as investors await their quarterly earnings reports.

Market movers on the TSX today

Fool contributor Jitendra Parashar has no position in any of the stocks mentioned. The Motley Fool recommends Canadian Natural Resources, Enbridge, and Restaurant Brands International. The Motley Fool has a disclosure policy.

More on Stock Market

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Tuesday, November 4

The TSX may face early pressure from weak commodities today, with investors turning their focus to a busy earnings slate.

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Monday, November 3

Following a six-month winning streak, the TSX may remain muted at the open today with more earnings and monetary policy…

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Friday, October 31

The TSX could trade flat at the open today as investors await fresh GDP data and major earnings, with the…

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Thursday, October 30

The TSX may struggle for direction at the open today as central bank caution tempers sentiment despite rate cuts and…

Read more »

tsx today
Stock Market

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

With twin rate decisions due today, the TSX could see heightened volatility as traders assess the policy outlook.

Read more »

stocks climbing green bull market
Stock Market

The TSX Is Around its All-Time High: Is it Too Late to Invest in the Index?

TSX at a record high? Don’t panic, new peaks often signal strength, not danger, and quality bargains can still be…

Read more »

tsx today
Stock Market

TSX Today: What to Watch for in Stocks on Tuesday, October 28

The TSX may stay range-bound today as investors await key rate decisions while miners struggle amid softer metals.

Read more »

Investor reading the newspaper
Stock Market

Here’s What the Stock Market Looked Like the Last Time the Blue Jays Were in the World Series

Whether it's Joe Carter's World Series homer or a Springer Dinger, the love of the Blue Jays is a long-term…

Read more »