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5 Things to Know Today: July 4, 2026

  Saturday, July 4, 2026 Here's what Canadians need to know this morning — from a strong close on Bay Street to a trade deal that's now on shakier ground, plus what to watch before the Bank of Canada's next rate call. 1. TSX Closes Sharply Higher, Loonie Slips The S&P/TSX Composite Index jumped 308.17 points, or 0.88%, to close at 35,274.84 on Thursday, July 3, as markets reopened following the Canada Day long weekend. Trading volume topped 89 million shares. Gains were broad-based, with the small-cap S&P/TSX Venture Composite up 2.61% on the day. The Canadian dollar edged lower against the U.S. dollar, with CAD/USD dipping about 0.10% to roughly 70.4 cents. Figures cross-checked against Yahoo Finance, Google Finance, and Bloomberg. 2. CUSMA Trade Deal Left in Limbo After U.S. Declines Extension The mandatory six-year review of the Canada-U.S.-Mexico Agreement passed its July 1 milestone without a renewal. The U.S. Trade Representative's office confirmed Washing...

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Differing Reactions: Mexico Shows Commitment While Canada Misreads Tariff Mandate

 

The White House has observed a stark contrast in responses to President Trump’s latest tariff order. In official remarks on Monday, senior economic adviser Kevin Hassett noted that Mexico has demonstrated a “very, very serious” approach to meeting the conditions outlined in the executive order. In contrast, Canadian officials and commentators have interpreted the tariff imposition as the start of an all-out trade war.

The tariffs—imposed on goods from Mexico, Canada, and China—are part of a broader U.S. strategy aimed at curbing illegal immigration and the flow of fentanyl into the country. Hassett stressed that while the measures are designed to pressure trading partners to address these issues, “Canadians appear to have misunderstood the plain language of the executive order,” suggesting that Canada’s reaction is disproportionate compared with Mexico’s measured response.

Mexican President Claudia Sheinbaum, for her part, has maintained a calm and pragmatic stance, indicating readiness to negotiate and implement additional steps if required. U.S. officials believe that this cooperative posture could help de-escalate tensions and set the stage for further discussions.

Critics on both sides warn that misinterpretations and overreactions could have serious economic repercussions. As the debate over tariffs continues, the administration appears keen to highlight Mexico’s commitment as a model of compliance—contrasted sharply against what it views as Canada’s excessive alarm.


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