2025.11.0714:46:11UTC+00TSX Falls as Strong Jobs Data Signals End of Rate Cuts

The S&P/TSX Composite Index declined by more than 0.5% on Friday, falling below the 30,000 mark, as investors evaluated recent corporate earnings alongside strong labor market data. This economic backdrop suggests that the Bank of Canada may cease its current cycle of interest rate reductions. Notably, the unemployment rate unexpectedly fell to 6.9%, coupled with a significant rise in employment levels, indicating that the Bank of Canada's easing measures might be coming to an end.

In the corporate sector, Enbridge experienced a 1.6% decline in its stock price after reporting earnings per share (EPS) of C$0.46, missing analysts' expectations of C$0.54. Similarly, Shopify's shares dropped by 3.9%, despite showing strong revenue, as its gross margin fell to 48.9%. Nevertheless, Shopify continues to hold a "Moderate Buy" rating. Additionally, Constellation Software saw a minor decrease of 0.4% in their stock ahead of their earnings release, which is anticipated to report increased revenue and earnings.

Conversely, Wheaton Precious Metals saw a gain of 2.5%, despite reporting third-quarter EPS of $0.62, which fell slightly short of market estimates. However, the company's revenue totaled $476.3 million, compared to the expected $492.6 million.