TORONTO – Canada’s main stock index finished in negative territory, while U.S. markets also fell as gold prices reached new highs.
Kevin Burkett, portfolio manager at Victoria-based Burkett Asset Management, said Tuesday’s trading session marked a “quiet day.”
The S&P/TSX composite index was down 180.16 points at 30,351.72.
Despite Tuesday’s pullback, the S&P/TSX composite has been on a winning streak recently. Burkett said he boils down the steady climb on the index to two main factors, one being the price of gold and the other being the performance of large-cap technology companies, like Shopify Inc.
Gold futures have soared above US$4,000 per troy ounce for the first time, as many investors seek a safe haven to park their money as the U.S. government shutdown continues.
The December gold contract was up US$28.10 at US$4,004.40 an ounce.
The price of the key commodity hit a record as Burkett said investors are grappling with a “high level of risk globally.”
Tuesday’s trading session also occurred as Prime Minister Mark Carney met with U.S. President Donald Trump in Washington to discuss a number of issues including tariffs.
Burkett said the tone of the meeting seemed “somewhat positive.”
“It seems like Trump is continuing to posture that he’s not concerned about the Canada-U.S.-Mexico agreement, and sort of a take it or leave it, but that he is continuing to work with Mark Carney on a deal,” he said.
In New York, the Dow Jones industrial average was down 91.99 points at 46,602.98. The S&P 500 index was down 25.69 points at 6,714.59, while the Nasdaq composite was down 153.30 points at 22,788.36.
Burkett noted the S&P 500 took a pause from its recent rally.
“In the U.S., it’s predominantly continued hyperfocus on large-cap tech names, today being Oracle,” he said.
Oracle helped drag the market lower. It fell 2.5 per cent after a news report suggested it’s making thin profit margins on a key line of business related to artificial intelligence technology.
The frenzy around AI has been one of the biggest trends guiding Wall Street to record after record recently. It’s been so strong that it’s raised worries that prices have potentially shot too high across the market.
“I think there’s a high level of attention being paid to results in these AI companies while people try to figure out if we’re in a bubble related to AI or if this really is transformational technology that’s going to leg up the entire economy.”
The Canadian dollar traded for 71.68 cents US compared with 71.66 cents US on Monday.
The November crude oil contract was down four cents US at US$61.73 per barrel.
This report by The Canadian Press was first published Oct. 7, 2025.
— With files from The Associated Press
Companies in this story: (TSX:GSPTSE, TSX:CADUSD, TSX: SHOP)
