![\"\"\/](\"https:\/\/s3-symbol-logo.tradingview.com\/indices\/s-and-p-tsx-composite-index.svg\"){kind=logo}
TSX<\/a> to rise nearly 5% to 32,125 by the end of 2026, from 30,604 on Monday.<\/p>\nThat would eclipse the record closing high of 30,827.58 on November 12 and the 30,000-mark expected in an August poll. By mid-2027, the index was forecast to reach 33,925, a gain of 10.9%.<\/p>\n
“We are heading into 2026 with a more optimistic view than we did 2025,” said Philip Petursson, chief investment strategist at IG Wealth Management.<\/p>\n
“The environment has changed for the better. While tariffs still exist for now, there is less uncertainty around the levels of tariffs investors and companies should expect and plan for.”<\/p>\n
LOWER INTEREST RATES<\/p>\n
Canada wants a deal to lower U.S. tariffs on steel, aluminum and autos but most other goods are exempt from duties under the U.S.-Mexico-Canada Agreement.<\/p>\n
“Central banks continue to shift from restrictive policy to accommodation, with continued rate cuts expected from both the Bank of Canada and the U.S. Federal Reserve,” Petursson said. “This boost in liquidity is already supporting stock values, particularly in long-duration sectors like technology.”<\/p>\n
The Bank of Canada has lowered its benchmark interest rate to a more than three-year low of 2.25%, while fiscal policy could be another tailwind.<\/p>\n
Canadian Prime Minister Mark Carney committed earlier this month to spend billions of dollars on measures to raise productivity and is aiming to speed up natural resource project construction.<\/p>\n
“Canadian energy and Canadian minerals will continue to be in high demand to fuel the needs of AI-related technologies for years to come,” said Matt Skipp, President of SW8 Asset Management.<\/p>\n
The energy and materials sectors combined account for 32% of the TSX’s market capitalization.<\/p>\n
Still, 11 of 15 analysts that answered a separate question said a correction was likely or very likely over the coming three months. The TSX has advanced 23.8% since the start of the year, putting it on track for its biggest annual increase since 2009.<\/p>\n
“This year’s strong gains will be difficult to replicate as valuations have already re-rated higher, and the tailwind from surging gold prices may be largely exhausted,” said Angelo Kourkafas, senior global investment strategist at Edward Jones. “This suggests slower returns and potentially higher volatility in 2026.”<\/p>\n
(Other stories from the Q4 global Reuters stocks poll)<\/p>\n","protected":false},"excerpt":{"rendered":"By Fergal Smith Canada’s main stock index is expected to rise to another all-time high next year as…\n","protected":false},"author":2,"featured_media":88072,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[72,113,61,60],"class_list":["post-160668","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-ie","tag-ireland"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/160668","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=160668"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/160668\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/88072"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=160668"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=160668"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=160668"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}