Why Canadian stocks could be in a sweet spot as markets churn higher

Article content“Canadian equities remain well-positioned to keep pace with the U.S. … period,” BMO Capital Markets chief investment strategist Brian Belski said in a research paper updating the bank’s best investment ideas strategy. Canadian stocks are at the tail end of an earnings recovery that started in mid-2024, with profitability normalizing and growth now expected to reach double digits. “Despite narrowing valuation divergence of Canada versus the U.S., we continue to believe the Canadian small-cap u ...