Market Recap* – Week of March 9, 2026

1. What happened in the markets?

Canadian stocks fell for the week. The Toronto market was pulled lower by broad-based selling as a weakening domestic labor market weighed on sentiment. Statistics Canada reported a surprise loss of 83,900 jobs in February, and the unemployment rate climbed to 6.7%, adding to concerns about the pace of Canada’s economic slowdown. Energy stocks were volatile throughout the week as rising oil prices driven by the conflict in the Middle East pulled prices in both directions.

U.S. stocks also declined, extending a losing streak for Wall Street. The S&P 500 posted its third consecutive weekly loss and closed at its lowest level of the year. The main driver of the selloff was a sharp rise in oil prices stemming from the ongoing conflict involving Iran. Iran’s blockade of the Strait of Hormuz pushed crude oil prices higher, and concerns grew that the resulting energy shock could slow economic growth while keeping inflation elevated. The prospect of this combination of rising prices and slowing growth unsettled markets throughout the week.

Canadian fixed income prices moved slightly weaker over the week. Concerns about persistently elevated oil prices and the potential for supply chain disruptions complicated the outlook for bond markets, while the Bank of Canada faces the challenge of balancing sticky headline inflation against signs of a softening domestic economy.

Money markets were essentially flat over the week providing stability and a modest level of income in a week of general market weakness.

The Canadian dollar weakened against the U.S. dollar over the week. The Canadian dollar fell past 1.37 per U.S. dollar as a cooling domestic labor market and shifting global monetary policy expectations reshaped the currency outlook. While Canada’s role as an energy producer would normally support the loonie during a period of high oil prices, the strength of the U.S. dollar and deteriorating domestic economic data pushed CAD lower by the Friday close.

2. What does it mean for Embark Funds?

Asset class	Change	Impact on cohorts
Canadian Equities	↓	Slightly negative for younger cohorts with higher equity exposure. Canadian stocks fell on the back of weaker domestic labor market data and broad-based selling pressure.
U.S. Equities	↓	Negative for younger, growth-oriented cohorts. U.S. markets declined for a third consecutive week as rising oil prices and concerns about slowing growth weighed on sentiment.
Bonds	↓	A modest negative for older and more conservative cohorts. Bond prices edged lower during the week, offering limited protection against broader market weakness.
Money Market	–	Continued to support older cohorts and capital-preservation strategies.
Canadian Dollar	↓ CAD	Portfolios holding foreign assets received a small lift from the decline in the Canadian dollar, as those assets are worth more when converted back to Canadian dollars.