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The S&P/TSX Composite Index is set to grow 2.0% in 2026, growing at a CAGR of 8.8% over the five years through 2026. The constituents of the S&P/TSX Composite Index are most heavily weighted to the finance and energy sectors. As a result, fluctuations in the energy sector due to changes in oil prices affect the performance of the index. In 2021, the index expanded over 20.0% in response to the fears surrounding the pandemic waning. However, 2022 was a challenging year for investors due to inflation and rising interest rates. Consequently, the index fell 8.7%. Moving into 2023, uncertainty regarding inflation are concerning investors. Several aggressive rate hikes by the Bank of Canada have introduced more volatility into the market. Additional volatility from the Russian war on Ukraine and the Gaza-Hamas conflict has also increased investor uncertainty. Investors concerned with yield have shifted out of the S&P/TSX Composite and towards a more stable investment until inflation, and other macroeconomic events, calm down. As a result, growth was moderate in 2023. 2024 experienced strong growth, reaching 18.0%, due to a boost in energy stocks such as oil and natural gas. 2025 saw 28.2% growth amid surging gold and oil prices, as well a trend of diversification away from American assets.
Curious about what drives these trends? IBISWorld's analyst coverage on the s&p/tsx composite includes detailled analysis on the current performance, outlook and industries affected.
1980-2032
The S&P/TSX Composite Index is a commonly cited indicator of stock market performance in Canada. At the time of writing, it includes about 250 companies and accounts for seven-tenths of the total market capitalization of the Toronto Stock Exchange. The companies included in the index are from various sectors across the economy, including oil, finance, telecommunications, retail and manufacturing. The values presented in this report are the average of December close figures. Data is sourced from Statistics Canada.
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The s&p/tsx composite in Canada in 2026 was 32,362.67 index points.
The s&p/tsx composite in Canada grew by 8.8% in 2026.
IBISWorld’s data and analysis on s&p/tsx composite in Canada includes forecasted growth rates over the next five years.