Stock Markets June 5, 2026 04:30 PM

Toronto market retreats as S&P/TSX Composite falls 2.28%

Materials, technology and energy stocks drive the decline; TerraVest plunges to fresh lows

By Caleb Monroe
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The S&P/TSX Composite closed lower, falling 2.28% as losses in the Materials, Information Technology and Energy sectors weighed on the Toronto market. A small group of stocks produced gains, while several names recorded steep declines, including TerraVest Industries, which dropped to 52-week lows.

Toronto market retreats as S&P/TSX Composite falls 2.28%
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Key Points

  • S&P/TSX Composite closed down 2.28%, led by losses in Materials, IT and Energy.
  • Top gains included Transcontinental (TCLa) +7.43%, Curaleaf (CURA) +6.57%, and Metro (MRU) +4.37%; major declines included TerraVest (TVK) -31.58%, Ero Copper (ERO) -16.12% and Americas Silver (USA) -15.45%.
  • Volatility rose with the S&P/TSX 60 VIX up 13.08% to 14.96; gold and crude futures both fell, and the US Dollar Index Futures increased to 100.05.

Canada's benchmark S&P/TSX Composite ended the session down 2.28% after investors pushed shares broadly lower. Weakness was concentrated in the Materials, Information Technology and Energy sectors, which together contributed heavily to the decline in the index.


Top performers

  • Transcontinental Inc (TSX:TCLa) led gains, rising 7.43% or 0.35 points to close at 5.06.
  • Curaleaf Holdings Inc (TSX:CURA) advanced 6.57% or 1.00 points to finish at 16.21.
  • Metro Inc. (TSX:MRU) added 4.37% or 3.88 points to end the session at 92.64.

Largest decliners

  • TerraVest Industries Inc (TSX:TVK) plunged 31.58% or 50.03 points to close at 108.40 and touched 52-week lows during the session.
  • Ero Copper Corp (TSX:ERO) fell 16.12% or 6.88 points to finish at 35.81.
  • Americas Silver Corp (TSX:USA) declined 15.45% or 1.25 points to end at 6.84.

Market breadth was negative on the Toronto Stock Exchange with falling issues outnumbering advancing ones by 666 to 324; 69 issues were unchanged.


Volatility and sentiment

The S&P/TSX 60 VIX, which measures implied volatility for S&P/TSX Composite options, rose 13.08% to 14.96, signaling an increase in option-based volatility expectations.


Commodities and energy

  • Gold Futures for August delivery were down 3.50% or 157.55 to $4,347.45 a troy ounce.
  • Crude oil for July delivery fell 2.91% or 2.71 to $90.33 a barrel.
  • The August Brent oil contract slipped 2.07% or 1.97 to trade at $93.06 a barrel.

Foreign exchange and index futures

  • CAD/USD was essentially unchanged, moving 0.21% to 0.72.
  • CAD/EUR was also effectively unchanged, up 0.54% to 0.62.
  • The US Dollar Index Futures rose 0.67% to 100.05.

Additional note on analytical tools referenced

Material in the session referenced an AI-driven stock selection tool called ProPicks AI, which evaluates companies like Metro Inc (MRU) using more than 100 financial metrics. The tool cited past winners including Super Micro Computer (+185%) and AppLovin (+157%) as examples of notable prior outcomes identified by its process.

Overall, the Toronto market closed with a clear negative bias as sector losses outweighed a handful of notable gains.

Risks

  • Elevated implied volatility as measured by the S&P/TSX 60 VIX, up 13.08% to 14.96, could increase uncertainty for derivative and options strategies - impacting portfolios sensitive to volatility.
  • Significant single-stock moves, including TerraVest's 31.58% drop to 108.40 and other double-digit percentage declines, create downside risk for investors concentrated in affected Materials and mining-related names.
  • Declines in crude oil and Brent futures, along with sector losses in Energy, may pressure energy-sector earnings and related equities in the near term.

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