12:13 PM EDT, 03/20/2025 (MT Newswires) -- The Toronto Stock Exchange which was up 70 points earlier, has given up most of its gains and is now just five points higher, with most sectors in negative territory.

Oil price edged higher following a day-prior report showing U.S. oil inventories rose last month but gasoline inventories dropped, while geopolitical risk remains high on violence in the Middle East and Ukraine. Also, gold traded at yet another record high even as the dollar rose following the Federal Reserve's day-prior decision to hold interest rates steady as safe-haven buying continues to support the metal on growth worries.

But natural gas traded lower early on Thursday ahead of fresh storage data as mild spring weather continues to cut demand.

Despite the resilience that has been shown by Canadian stock pickers, the Canadian Federation of Independent Business (CFIB) said Thursday its Business Barometer long-term index crashed to an all-time low in March, dropping 24.8 index points to 25.0. The small business confidence indicator reached a lower mark than it did at any time during the 2020 pandemic, 2008 financial crisis or 9/11.

Still, Brian Belski in his latest 'Canadian Strategy Snapshot' said the bottom line for he and his team over at BMO Capital Markets is that their stance has not wavered. They believe the current Canadian equity market weakness is "all about uncertainty -- period".

"As such," Belski wrote, "we continue to advise clients that their investment process requires (now more than ever) a more fundamentally driven, disciplined and non-reactive approach. Indeed, despite the increased rhetoric and negative banter that we believe have been the primary culprits for many macro forecasts being revised to the downside, the S&P/TSX fundamental outlook remains stable in our view." Belski said this is especially evident according to BMO's models regarding the recovery/improvement in Canadian earnings that began in earnest last year, "one that remains on track and the clear base case scenario".

Belski added: "As we have previously stated, fear is a powerful emotion and uncertainty is the ice that is freezing investors. However, we believe this is all about duration, and as rhetoric fades, so too will fear and uncertainty. Ultimately, we believe the stagnant revision trends that have paralyzed earnings over the last few months will ultimately shift sharply positive, helping propel Canadian equities back to new all-time highs by year-end. In the meantime, we believe investors can diffuse market volatility by utilizing dividend growth strategies while also layering in strong Canadian companies that have been unfairly punished."