- TSX Composite closed at 35,226, down 0.79%, as a 5.29% crash in WTI crude to US$80.19 hammered Canadian energy heavyweights including CNQ, CVE, and SU.
- Gold surged 1.44% to US$4,107.50/oz (≈C$5,760), lifting Agnico Eagle and Barrick Gold roughly 2% each against the broader market’s decline.
- The OPEC+ decision to accelerate output restoration by 400,000 bbl/day in September, combined with a weak China manufacturing PMI, drove the oil selloff.
- Watch the Bank of Canada Business Outlook Survey (10:30 AM ET) and U.S. ISM Services PMI (10:00 AM ET) on Tuesday for the next major market-moving catalysts.
The TSX Composite closed at 35,226 on Monday, August 3, 2026, down 280 points or 0.79%, bucking a strong session on Wall Street where the S&P 500 gained 1.48% to 7,600 and the NASDAQ surged 2.13% to 25,914. Volume on the TSX came in roughly 8% below the 30-day average, suggesting conviction was thin on both the selling and the buying side. The divergence between Toronto and New York told the story of the day in a single word: oil.
Energy Sector Leads Losses as WTI Drops More Than 5%
West Texas Intermediate crude collapsed US$4.48 to US$80.19 a barrel — equivalent to roughly C$112.49 at today’s USD/CAD rate of 1.4028 — while Brent fell an even steeper 7.10% to US$83.72. The catalyst was a combination of a larger-than-expected OPEC+ production increase announced over the weekend and softer global manufacturing data out of China that fanned demand concerns. Canadian Natural Resources (CNQ.TO) shed approximately 4.1% on the session, while Cenovus Energy (CVE.TO) lost close to 3.8%, two of the heaviest weights dragging the TSX energy sub-index to its worst single-day performance in over three months. Suncor Energy (SU.TO) fell roughly 3.5%, erasing gains made over the prior two weeks.
Winners: Gold Miners and Copper Plays Shine
Not everything was red. Gold pushed to US$4,107.50 an ounce (+1.44%), or approximately C$5,760 per ounce, propelling the TSX gold sub-index higher even as the broader market sagged. Agnico Eagle Mines (AEM.TO) added roughly 2.3% and Barrick Gold (ABX.TO) climbed about 1.9%, both touching multi-week highs intraday. Copper also outperformed, rising 1.72% to US$6.547 a pound on renewed optimism around AI data-centre infrastructure demand and a weaker U.S. dollar; First Quantum Minerals (FM.TO) and Teck Resources (TECK.B.TO) both posted gains in the 1.5%–2.0% range. Silver added 1.17% to US$58.27 an ounce, providing a further tailwind for diversified precious-metals producers.
What Drove the Day’s Biggest Moves
The dominant narrative was the OPEC+ supply shock. The cartel’s decision to accelerate its output-restoration timeline by an additional 400,000 barrels per day starting in September caught traders off-guard, and the China PMI miss — manufacturing activity contracting for a second straight month — removed any cushion from the demand side. Conversely, the same weak-dollar environment that pressured crude lifted gold and copper, creating a sharp internal rotation within commodity-linked Canadian equities. On the macro side, Friday’s strong U.S. jobs report continued to reverberate, supporting risk appetite in U.S. tech and justifying the NASDAQ’s two-percent-plus rally, but Canadian investors remained anchored to energy’s drag.
What to Watch Tuesday, August 4
Three catalysts deserve your attention before the open. First, the Bank of Canada’s Business Outlook Survey drops at 10:30 AM ET — any deterioration in forward-looking hiring or capex intentions could add pressure to rate-cut expectations and weigh on the loonie. Second, U.S. ISM Services PMI for July prints at 10:00 AM ET; a miss could amplify crude’s slide by deepening global growth fears, while a beat would likely extend Wall Street’s momentum. Third, watch overnight API crude inventory data — an unexpected build would compound Monday’s oil selloff and set a negative tone for energy names at the TSX open. Earnings season is also ramping: two mid-cap Canadian energy producers report before the bell, and their guidance language on hedging and break-even prices will be closely scrutinized given today’s price action.
