Equities in Canada’s largest centre fell on Monday, with the heavyweight energy sector leading losses as rising COVID-19 cases brewed concerns over crude demand and pushed oil prices 4% lower.
The TSX Composite index erased 83.95 points to begin the day and the week at 20,391.47
The Canadian dollar eked up 0.15 cents to 79.70 cents U.S.
National Bank of Canada raised the price target on Constellation Software to $2,100 from $1,900. Constellation was pointed downward $4.18 to $2,024.08.
Laurentian Bank Securities raised the target price on Kinaxis to $210.00 from $200.00. Kinaxis gained $7.60, or 4.4%, to $178.59.
National Bank of Canada raised the target price on Parkland Corp. to $47.00 from $45.00. Parkland tumbled 33 cents to $39.18.
ON BAYSTREET
The TSX Venture Exchange slipped 1.89 points to 923.76,
All but three of the 12 TSX subgroups were lower to begin Monday, as energy faltered 2.2%, health-care was down 1.4%, and materials surrendered 0.9%.
The three gainers were real-estate, up 0.5%, while industrials and utilities each inched up 0.1%.
ON WALLSTREET
The Dow Jones Industrial Average was lower on Monday amid global growth concerns, after the 30-stock average notched a record close Friday.
The 30-stock index dropped 94 points to commence trading on Monday at 34,997, dragged down by a 1.8% drop in Boeing’s stock.
The S&P 500 gave back eight points to 4,421.50,
The NASDAQ docked 0.25 points to start the session at 15,095.25
Oil’s slide pushed energy stocks lower. Exxon Mobil and Chevron both lost about 1%. Diamondback Energy slipped 2.3%.
Tesla shares gained 1.5% after Jefferies upgraded the stock and predicted a rally of more than 20% over the next 12 months.
Berkshire Hathaway’s B shares climbed slightly on the back of a solid earnings report. The conglomerate’s operating income jumped 21% year over year to $6.69 billion in the second quarter as its myriad of businesses from energy to railroads benefited from the economic reopening.
U.S. senators reconvened Sunday to work toward the passage of a $1-trillion infrastructure bill, a top political priority of President Joe Biden. The bipartisan package is expected to have sufficient Republican support to pass this week in the Senate and move to the House for consideration in September.
Earnings season continues this week with companies including Tyson Foods, AMC Entertainment, Coinbase, Lordstown Motors, Bumble, Palantir, Disney, Airbnb and DoorDash set to report quarterly earnings.
Credit Suisse on Monday initiated a 5,000 price target for the S&P 500 for the end of 2022, citing higher earnings. The firm kept its 4,600 target for 2021.
Investors are awaiting key inflation data scheduled for release this week. The consumer price index is set for release Wednesday and the producer price index is scheduled to come out Thursday.
Prices for 10-Year Treasurys gained ground, lowering yields to 1.29% from Friday’s 1.30%. Treasury prices and yields move in opposite directions.
Oil prices dropped $2.14 to $66.14 U.S. a barrel.
Gold prices slid $24.10 to $1,739 U.S. an ounce.