Canada’s main stock index opened lower on Tuesday as investors remained on the sidelines in an earnings-heavy week, while weakness in crude and copper prices weighed on miners and energy stocks.
The TSX tumbled 121.58 points to commence Tuesday at 20,555.16.
The Canadian dollar sank 0.45 to 73.44 cents U.S.
Meantime, Canadian National Railway reported quarterly adjusted earnings of $1.82 per share, beating analysts’ average estimate of $1.72 per share. CN shares began Tuesday down $4.58, or 3.3%, to $162.69.
National Bank of Canada upgraded energy company Pason Systems to “outperform” from “sector perform.” Pason shares grabbed 13 cents, or 1.1%, to $11.89.
ON BAYSTREET
The TSX Venture Exchange decreased 5.6 points to 604.58.
All but three of the 12 TSX subgroups were down in the first hour, weighed mostly by industrials, sliding 1.4%, energy, off 1.3%, and materials, declining 1.1%.
The three gainers were consumer staples, advancing 0.3%, utilities, better by 0.2%, and consumer discretionary stocks, inching up 0.1%.
ON WALLSTREET
Stocks slipped Tuesday as traders assessed the latest quarterly figures from several major companies, while awaiting reports from key tech names.
The Dow Jones Industrials forfeited 87.7 points to 33,788.64.
The S&P 500 handed over 30.21 points to 4,106.83.
The NASDAQ faltered 111.69 points to 11,925.51.
Microsoft and Alphabet are slated to report Tuesday, the first of multiple Big Tech names on the earnings schedule this week. But those stocks could struggle, say experts who opine large-cap tech may not be a market leader in the remainder of the year after its early-2023 rally.
Alphabet shares fell slightly ahead of the Google-parent’s earnings after the bell. The company has been on an earnings cold streak, missing Wall Street estimates the last four quarters, according to Bespoke Investment Group.
Shares of First Republic Bank slid more than 27% after the regional bank posted its latest quarterly results. The bank said late Monday that deposits dropped 40% to $104.5 billion in the first quarter but have since stabilized.
First Republic will also be trimming expenses, including slashing headcount by 20% to 25% in the second quarter. The regional bank has been closely followed after investors grew concerned it could face the same fate as Silicon Valley Bank and Signature Bank, whose closures set off an industry crisis last month. First Republic shares have fallen more than 90% so far this year.
Prices for the 10-year Treasury jumped, lowering yields to 3.41% from Monday’s 3.50%. Treasury prices and yields move in opposite directions.
Oil prices plummeted $1.82 to $76.94 U.S. a barrel.
Gold prices regained $3.10 to $1,996.70 U.S. an ounce.