Gold Slump, AI Stock Selloff Drag TSX Lower to Cap Volatile Week

Canada's main stock index slid Friday as a sharp pullback in gold prices hit mining stocks hard while a global selloff in semiconductor and artificial-intelligence shares weighed on technology names. The S&P/TSX Composite fell roughly 76 to 100 points, with weakness spreading through both mining and banking stocks.

The August gold contract dropped US$59.70 to US$3,992.10 an ounce, a decline that landed with particular force on the materials-heavy TSX, where mining companies carry significant weight. At the same time, a broad selloff in chip and AI-related stocks dragged down Wall Street and spilled over into Canadian tech names, though rising energy prices provided some offset for the index.

A choppy week

Friday's losses capped a volatile stretch for Canadian equities, which were pulled in different directions over the week by selloffs in chip stocks, climbing oil prices and a softer gold market. The mixed signals left the index without a clear direction heading into the weekend, with investors weighing strength in energy against renewed caution in materials and technology.

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