04:19 PM EDT, 08/07/2025 (MT Newswires) -- The Toronto Stock Exchange closed lower for the first time in four sessions on some profit taking after posting a record close yesterday and also on lingering concerns around the outlook for the Canadian economy.

The S&P/TSX Composite Index closed down 159.6 points, or 0.55%, to 27,761.27, with most sectors lower, led by Info Tech, down about 1.3%, and Energy, down near 1%. Base Metals was the biggest gainer, up 2.3%.

After investor focus on Wednesday turned to earnings reports from companies like Shopify ( SHOP ) and away domestic economic woes and global trade spats that have dominated for months, the status quo returned today, with Shopify ( SHOP ) down near 4% and veteran market watcher David Rosenberg reminding Canadians about the uncertain outlook for this nation's economy.

Rosenberg published 'Canadian Update: Less "Resilience" than Meets the Eye' in which he said that after reviewing all of the economic data for Canada, he sees flat GDP and a weak labor market, with more easing likely from the Bank of Canada. Among key takeaways, Rosenberg noted Canada's GDP is "roughly flat" for the year to date, with real output per capita still declining. He said the strong numbers in the Labour Force Survey don't align with the weaker industrial jobs data, not to mention the declining level of job openings. "All of this means any inflation will hit the wall in the labor market, meaning that the Bank of Canada should have no fears about easing," he added.

A recent National Post newspaper article titled 'Canada's economy is showing 'resilience' against U.S. tariffs. Why?" caught Rosenberg's eye. "Resilient, perhaps -- but the Canadian economy is still barely showing a pulse despite moderate tax relief, the 'Buy Canada' and 'Travel within Canada' craze, and the prior aggressive interest rate cuts engineered by the Bank of Canada," he said. Rosenberg noted Real GDP shrank by a modest -0.1% MoM in May, the third mild contraction in the past four months and took the YoY trend down to +1.2% from +1.5% a year ago and +1.7% two years ago. "Slowing and anemic, to be generous," Rosenberg added.

Bigger picture, The Canadian Press noted U.S. President Donald Trump marked 200 days back in office on Wednesday by again hitting most U.S. trading partners with increased tariffs, days after slapping Canada with a 35% duty, even it that applies only to goods not covered by the Canada-United States-Mexico Agreement on trade.

Of commodities, gold traded higher midafternoon Thursday even as the dollar steadied after U.S. initial jobless claims rose more than expected last week, showing a slowing job market. Gold for December delivery was last seen up $20.10 to US$3,453.50 per ounce, the highest since the July 22 record close of US$3,501.80.

But West Texas Intermediate oil closed at a two-month low, falling for a sixth-straight session as rising supplies offset early gains after U.S. President Donald Trump imposed secondary sanctions on India to discourage the country's purchases of Russian oil. WTI crude for September delivery closed down $0.47 to settle at US$63.88 per barrel, the lowest since June 5, while October Brent oil was last seen down $0.28 to US$66.61.