12:07 PM EST, 03/05/2025 (MT Newswires) -- The Toronto Stock Exchange is up 90 points at midday, recovering some ground after losing 430 points on Tuesday as the trade war between Canada and the U.S. began.

Miners, up 4%, is the biggest gainer, while energy, down 1.7%, is the biggest decliner.

On tariffs, U.S. Secretary of Commerce Howard Lutnick says meeting "somewhere in the middle" is a likely outcome for potential adjustments for U.S. tariffs on Canada and Mexico, noting that carve-outs for some industries are a possibility. "There are going to be tariffs, let's be clear," Lutnick told Bloomberg Wednesday morning in a live interview. "It will be 25% but.....there will be some categories left out; it could well be autos, could be others as well," he said, describing his team's expectations.

According to the secretary, a decision by U.S. President Donald Trump and subsequent announcement on immediate next steps in the tariff fight is expected later today, CTV News noted.

Negotiations, compromise and concessions characterize tariffs, according to a Macquarie strategist. Thierry Wizman, Global FX & Rates Strategist at Macquarie, said U.S. President Trump's emphasis on reciprocal tariffs last night opens a clearer path to negotiation and compromise. He added: "Reciprocal tariffs are among the easiest types of tariffs to negotiate and compromise away, since they only demand that the trade counter-party remove the offending tariff or non-tariff barrier to trade. It's one reason why stocks are rallying today."