TSX inches lower; investors assess new US tariff proposals

Canada's main stock index edged lower on Tuesday, dragged by heavyweight mining shares, while investors assessed U.S. President Donald Trump's new tariff proposals for several trading partners.

The commodity heavy S&P/TSX composite index TSX was down 0.2% at 26,959.65 points.

Trump told 14 nations on Monday, including Japan and South Korea, that they would face sharply higher tariffs from August 1, while leaving room for negotiations.

On the index, mining stocks TTMT fell 2.4%, tracking a fall in gold prices.

Gold miners were among the top decliners, with SSR Mining SSRM and Orla Mining OLA falling 6.1% and 6.5%, respectively.

But energy TTEN shares advanced 1%, with Baytex Energy BTE rising 6.1% to the top of the index. Industrial stocks (.GSPTTIN) gained 0.7%.

An index of communication (.GSPTTTS) stocks rose 1.8%; telecom firm BCE BCE gained 2.9%.

"The TSX is in a holding pattern this week, consolidating recent gains after a strong run. While the index holds steady, momentum is building, which is a positive technical sign for continued upside," said Brandon Michael, senior research analyst at ABC Funds.

Among individual stocks, logistics-provider Mullen Group MTL slipped 1.1% after brokerage CIBC downgraded company's rating.

Business jet maker Bombardier's BBD.A shares gained 1.5% after CIBC raised its target price.

On the data front, Ivey PMI data showed that Canada's economic activity for June expanded at its fastest pace in four months with price increases accelerating.

In other news, Canada's finance minister has asked all ministries to find savings, assess spending on programs, cut down on work duplication and look to reallocate funds from other programs to priority projects, a government official said on Monday.