By Adriano Marchese

Canadian stocks surged as investors cheered a 90-day pause and broader trade reprieve announced by President Trump who said he would ease reciprocal levies on all countries--except China.

Canada's tech, process industries and materials sectors were the main gainers following Trump's post on the Truth Social platform that he authorized a "90 day PAUSE, and a substantially lowered Reciprocal Tariff during this period, of 10%, also effective immediately."

Shortly after 1 p.m., the president's post on Truth Social lifted nearly all stocks into session highs, prompting a complete reversal from earlier losses in nearly all sectors. Before the news, finance and utilities stocks were the main laggards.

"More than 75 Countries have called to negotiate a solution...and have not, at my strong suggestion, retaliated in any way, shape, or form," Trump wrote in his post.

Canada's S&P/TSX Composite Index rose 3.9% on the news to 23381.16 and the blue-chip S&P/TSX 60 was 3.8% higher at 1408.74.

Notable gainers following Trump's post were Canadian women's retailer Aritzia, up over 17% to C$45.23, Athabasca Oil, up 13% to C$4.76 and business jet maker Bombardier, which rose 12% to C$84.50.

Trump's reciprocal tariffs on nearly 100 countries just went into effect over night, including a 104% tariff on Chinese imports. On Wednesday, Beijing said it would raise levies on U.S. imports to 84% from 34%.

China was not part of the tariff reductions. Trump in his post also said he is raising the tariff charged to China to 125%, "based on the lack of respect that China has shown to the World's Markets."

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

April 09, 2025 14:08 ET (18:08 GMT)

Copyright (c) 2025 Dow Jones & Company, Inc.