The S&P/TSX Composite Index edged 0.3% lower to close at 21,876 on Friday, pressured by the materials sector, while hopes of looser policy in the US added to signs of traction in domestic economic growth.
Preliminary data showed that the Canadian GDP expanded by 0.1% in May, extending the 0.3% growth in April.
Key miners led the decline, with Agnico Eagle losing 1.6%, Franco-Nevada shedding 1.4%, Wheaton Precious Metals losing 1.2%, and Barrick Gold down 1.1%.
Meanwhile, the energy sector turned negative, pressured by crude oils retreat.
On the other hand, the rate-sensitive financial and tech sectors welcomed moderating core PCE prices, with major lenders finding relief from lower delinquency risks as the prospect of reduced borrowing costs eased the burden on debtors, lifting major lenders in the index.
In the first half of 2024, the TSX saw gains of 4.4%.