TSX Takes Big Steps Backward - InvestingChannel

TSX Takes Big Steps Backward

Equities in Toronto staged a sharp retreat Monday from where they’d left off Friday, with energy and other resource stocks staggering.

The TSX Composite index lost 84.75 points, to conclude Monday at 20,145.51.

The Canadian dollar ducked 0.34 cents to 81.01 cents U.S.

Thursday, markets in Canada are closed in honour of Canada Day.

Energy was the main culprit of the decline, as Enerplus fell 58 cents, or 6.3%, to $8.64, while MEG Energy dropped 47 cents, or 5.1%, to $8.67.

Among materials, New Gold shed six cents, or 2.7%, to $2.18, while MAG Silver worsened 82 cents, or 3.1%, to $25.61.

Consumer discretionary issues also took their share of knocks, Martinrea International falling 52 cents, or 3.8%, to $13.11, while Linamar sank $2.85, or 3.5%, to $78.79.

Tech stocks tried to balance things out, with BlackBerry climbing 77 cents, or 5.2%, to $15.71, while Kinaxis took a hold of $4.38, or 2.8%, to $159.88.

In cannabis issues, Tilray added 53 cents, or 2.4%, to $22.90, while Aurora Cannabis jumped 22 cents, or 2%, to $11.47.

Among communication stocks, Acuity Ad Holdings gained 17 cents, or 1.3%, to $13.17, while Corus Entertainment moved higher six cents, or 1%, to $5.94.

ON BAYSTREET

The TSX Venture Exchange demurred 3.71 points to 944.80.

The 12 TSX subgroups were evenly split by the close Monday, with information technology climbing 1.3%, health-care better by 0.5%, and communications up 0.4%.

The half-dozen laggards were weighed most by energy, tumbling 3.1%, materials, sliding 1.1%, and consumer discretionary issues, off 0.8%.

ON WALLSTREET

The U.S. stock market set more record highs on Monday, boosted by a court win for Facebook and broad strength in tech stocks.

The Dow Jones Industrials gave back 150.57 points to 34,283.27, as energy and transport stocks came under pressure.

Aerospace giant Boeing weighed on the Dow, with shares falling more than 3% after regulators told the company it is not likely to receive certification for its long-range aircraft until mid-to-late 2023. CEO Dave Calhoun earlier this month said it expected certification in the fourth-quarter of 2023.

The S&P 500 took on 9.91 points to 4,290.61, for its third-straight record close,

The NASDAQ jumped 140.12 points, or 1%, to 14,500.51.

Tech stocks were in the driver’s seat on Monday, with shares of Apple and Salesforce adding more than 1%. Facebook jumped more than 4% after a U.S. federal court dismissed an antitrust case against the company from the Federal Trade Commission and closed with a market cap above $1 trillion. Semiconductor stocks were a bright spot on Monday, with Nvidia 5% and Broadcom climbing more than 2%.

A massive, bipartisan infrastructure deal appeared revitalized as of Sunday evening after President Joe Biden clarified on Saturday that he doesn’t plan to veto the legislation if it comes without a separate reconciliation bill favored by Democrats. Republican senators then said on Sunday that the deal can move forward.

The president, flanked by a bipartisan group of senators, declared on Thursday that the group had reached a multibillion-dollar deal to improve the nation’s roads, bridges, waterways and broadband after weeks of negotiation.

Democrats have been pushing for a second bill that would include funding for issues like climate change, child care, health care and education.

Prices for 10-Year Treasurys improved, lowering yields to 1.48% from Friday’s 1.52%. Treasury prices and yields move in opposite directions.

Oil prices slid $1.22 to $72.83 U.S. a barrel.

Gold prices gained $1.50 to $1,779.30 U.S. an ounce.