The index fell 0.23% on October 1, sits 5.16% below its August high and lost 2.85% in September, as materials and financials fell on higher yields while energy and technology gained.

The index closed September 30 at the low of the day, its lowest close since July 31. Gold futures fell 6.6% as the US 10-year yield rose 51 basis points, and First Quantum closed 15% lower on Panama news.

The TSX closed at its lowest level since July 31, gold and materials ETFs fell 6% to 8%, and energy stocks slipped even as Brent gained 13%.

A sale on September 29 settles October 1 and restricts repurchase through October 31, while the federal tax value of the loss is smaller than the single-day move in gold on Monday.

The S&P/TSX Composite lost 0.87% on a gold selloff while U.S. yields hit levels last seen in 2007, and the Federal Reserve decision on October 28 now carries most of the weight.

Gold bought in August now carries a capital loss worth harvesting in non-registered and corporate accounts, but a repurchase in an RRSP or TFSA can erase the deduction permanently.

Gold dropped 3.5% on a day when Middle East headlines worsened, and the gap between the safe-haven label and the price is a live test of mental accounting and loss aversion.

Crude rose 3.1% and the TSX fell, but the clearest signal was gold dropping 2.9%: a haven priced against a near 5.2% yield stops behaving like one.

The Fed hike case is running on U.S. demand while the Bank of Canada hike case is running on crude, which turns a Hormuz peace deal into a double negative for the Canadian dollar.

Gold is down 6.1 percent from its August peak even as the Middle East conflict continues, and the mechanism is the Federal Reserve, not the geopolitics.

The composite fell 67.61 points Friday to cap a week shaped by the Federal Reserve first rate hike since 2023 and a Hormuz-driven swing in oil. Energy was the sole sector to post a weekly gain among the decliners.

WTI has fallen for four straight sessions as Washington signals openness to talks with Iran at the UN General Assembly. The tanker war that sent oil toward 100 dollars has not ended, but the market is now pricing a chance that it might.

The Fed raised its policy rate for the first time since 2023 while the Bank of Canada held and floated cuts, yet Canadian bond yields kept climbing regardless of which way the Bank leans.

Thursday's Fed relief rally reversed within one session, and the asset that should have fallen alongside rising bond yields did the opposite instead.

Two central banks read the same energy-driven inflation data this week and reached opposite conclusions about whether it will last. Thursday sided with the one that held.

The safe-haven trade that should have followed a physical bypass shutdown around the Strait of Hormuz never arrived, and the reason points to Wednesday's rate decision, not the war.