Baystreet.ca - Canada's main stock index opened lower on Tuesday amid broad-based losses led by mining and energy shares, while investors awaited the Bank of Canada's monetary policy decision due on Wednesday.
The TSX Composite Index tumbled 151.42 points Tuesday at 23,194.76
The Canadian dollar skidded 0.23 cents at 73.85 cents U.S.
Markets on both sides of the border were Monday for Labour Day.
In corporate news, industrial valves manufacturer Velan signed a service agreement with GEH SMR Technologies Canada to supply products and services for a small modular reactor project with Ontario Power Generation. Shares in Velan took on four cents to $6.19.
On the economic slate, the Markit Canada Manufacturing PMI registered below the critical 50.0 no-change mark during August for a sixteenth successive month. However, by rising to 49.5, from 47.8 in July, the PMI signalled only a marginal deterioration in operating conditions that was the weakest since March.
ON BAYSTREET
The TSX Venture Exchange removed 1.43 to 566.48.
All but one of the 12 subgroups were lower in the first hour, with materials descending 1.9%, energy down 1.8%, and gold off 1.2%.
Only health-care held out against the negative tide, gaining 0.4%.
ON WALLSTREET
Stocks declined Tuesday as traders braced for a potentially tough month ahead after a strong but volatile August.
The 30-stock index ended a dipsy-doodle day with a hefty gain of 228.03 points to finish off the week at 41,563.08. The Dow touched a fresh all-time high in the final minutes of the trading session and closed at another record.
The S&P 500 hiked 56.44 points, or 1%, to 5,648.40.
The NASDAQ galloped 197.19 points, or 1.1%, to 17,713.62.
Stocks felt downward pressure as Nvidia (NASDAQ:NVDA), the high-flying artificial intelligence darling that has captured investor attention for more than a year, dropped more than 4%. It was one of several semiconductor stocks including Micron (NASDAQ:MU), KLA and Advanced Micro Devices (NASDAQ:AMD) seeing declines in the session.
Tuesday’s moves kick off the new trading month after the three major averages finished August with gains. U.S. markets were closed Monday due to the Labor Day holiday.
Investors will get their first major economic report of the month on Friday, when the U.S. government releases the August jobs report. Wall Street will also have to contend with seasonal headwinds, as September has been the worst month on average for the S&P 500 over the last 10 years.
Prices for the 10-year Treasury faltered, raising yields to 3.84% from Friday’s 3.91%. Treasury prices and yields move in opposite directions.
Oil prices skidded $2.56 to $70.99 U.S. a barrel.
Gold prices settled $14.00 to $2,513.60