Do you have a view as to how the TSX will respond if and when Trump announces 25% tariffs on Canadian goods?
Will oil and gas sector take a hit, like Suncor, and CNQ?
Thanks
Robert
Much has been priced into certain Canadian stocks and even the broader Canadian markets (yields, the CAD, etc.) regarding the potential for 25% tariffs, but what we feel is not priced in is the potential for smaller-than-expected tariffs. If we see more gradual, smaller tariffs, instead of these large tariffs that have been making headlines, we feel that Canadian companies can navigate these waters effectively, and see minimal impact to their fundamentals.
Tariffs could negatively impact Canadian energy stocks, but this does not factor in any potential negotiations, deals, or other global offsetting factors (the potential for a reduced USD in exchange for accepting tariffs). We prefer to focus on the overall quality of each company, and management's ability to adapt to changing market landscapes.