TSX Falls to Open Short Week - InvestingChannel

TSX Falls to Open Short Week

Equities in Toronto got to within striking distance of breakeven on the first day of a shortened week, as gains in cannabis giant Tilray helped offset losses in gold and tech stocks.

The TSX scaled back 30.06 points, to end Tuesday’s trading at 20,205.98.

The Canadian dollar came within 0.03 cents of breakeven to 74.52 cents U.S.

Canadian markets were closed Monday for Civic Holiday.

Gold stocks sank on the day, weighed most by Equinox Gold, dipping 20 cents, or 3%, to $6.53, while Torex Gold lost 80 cents, or 4.9%, to $15.91.

In tech stocks, Kinaxis swooned $8.72, while 5.1%, to $161.01, while Docebo collapsed $2.34, or 4.7%, to $47.64.

Financials were also the poorer, as Nuvei slid $1.35, or 3.3%, to $40.10, while Fairfax Financial tumbled $20.17, or 1.8%, to $1,107.81.

Tilray led health-care issues upward, garnering 97 cents, or 31.3%, to $4.07, while Sienna Senior Living hoisted seven cents to $11.42.

In energy stocks, Pason Systems captured 39 cents, or 2.9%, to $13.93, while NuVista Energy added 26 cents, or 2.2%, to $12.01.

Consumer staples also improved, with Alimentation Couche-Tard moving forward $1.26, or 1.9%, to $67.25, while Premium Brands improved $1.26, or 1.2%. to $110.83.

In the economic docket, Statistics Canada reported that, in June, Canada’s merchandise exports decreased 2.2%, while imports were down 0.5%. As a result, Canada’s merchandise trade deficit with the world widened from $2.7 billion in May to $3.7 billion in June.

ON BAYSTREET

The TSX Venture Exchange docked 8.06 points, or 1.3%, to 607.66.

Eight of the 12 TSX subgroups lost ground on the day, with gold down 1%, while information technology skidded 0.9%, and financials gave back 0.4%.

Health-care led the subgroups making hay Tuesday, progressing 7.3%, while energy surged 0.7%, and consumer staples were 0.7% to the good.

ON WALLSTREET

Stocks retreated Tuesday as an August selloff was reignited by a downgrade of the banking sector by credit rating agency Moody’s.

The Dow Jones Industrials descended 158.84 points to close Tuesday at 35,314.29, ed by a decline in Goldman Sachs. Monday, the 30-stock index had had its best day since June 15.

The S&P 500 index lost 19.06 points to 4,499.38.

The NASDAQ index fell 210.85 points, or 1.5%, to 13,783.55. putting it down more than 3% month to date. Tuesday was the fifth negative day out of six sessions for both the S&P 500 and the NASDAQ

Banks fell broadly after Moody’s downgraded the credit rating on several regional banks, including M&T Bank and Pinnacle Financial, citing deposit risk, a potential recession and struggling commercial real estate portfolios. The credit agency also placed Bank of N.Y. Mellon and State Street on review for a downgrade.

Traders also parsed through the latest batch of earnings. UPS shares slipped 1% after the delivery giant reported weaker-than-expected revenue for the second quarter. The company also lowered its full-year revenue outlook.

The corporate earnings season has so far been better than anticipated. With 89% of S&P 500 stocks done reporting quarterly results, about four-fifths of them have beaten Wall Street’s expectations, according to FactSet. But it appears a lot of those results were already priced into the market, given the pullback the last two weeks.

Traders also parsed through the latest batch of earnings. UPS shares dropped more than 1% after the delivery giant reported weaker-than-expected revenue for the second quarter. The company also lowered its full-year revenue outlook.

Prices for the 10-year Treasury gained sharply, lowering yields to 4.02% from Monday’s 4.08%. Treasury prices and yields move in opposite directions.

Oil prices regained 93 cents to $82.87 U.S. a barrel.

Gold prices slid $10.60 to $1,959.40 U.S. an ounce.

Related posts

Advisors in Focus- January 6, 2021

Gavin Maguire

Advisors in Focus- February 15, 2021

Gavin Maguire

Advisors in Focus- February 22, 2021

Gavin Maguire

Advisors in Focus- February 28, 2021

Gavin Maguire

Advisors in Focus- March 18, 2021

Gavin Maguire

Advisors in Focus- March 21, 2021

Gavin Maguire