Rbc investing suggests the Canadian materials sector

RBC Investing suggests the Canadian materials sector may experience a short-term price rally as China’s stimulus policy supports commodity imports. The company, at the time of posting its Q2 2025 results, highlighted that it continues to expand its vehicle offering, which includes the first builds of a more affordable model in June, with volume production planned for H2 2025. Furthermore, Tesla, Inc. (NASDAQ:TSLA) continued the development of Semi and Cybercab, both slated for volume production in 2026. Despite the uncertain macroeconomic environment amidst shifting tariffs, unclear impacts from changes to fiscal policy and political sentiment, Tesla, Inc. (NASDAQ:TSLA) continued to make high-value investments in CapEx and R&D. “Small business owners have faced many hurdles in recent years – from the pandemic to supply chain disruptions and now shifting tariffs. What we’ve consistently seen is their resilience. They continue to pivot, adapt, and find new ways to serve Canadians in meaningful ways. It’s no surprise Canadians recognize small businesses as essential to both our economy and our communities.” Karen Svendsen, RBC Client and Business Strategy Small Business RBC Investing’s fixed-income correlation models imply potential equity upside if rate cuts materialize by mid-2025, making current valuations attractive for long-term investors.