By Ketki Saxena
Investing.com -- At 10:45 a.m in Toronto, the S&P/TSX Composite Index was at 18,148.18 points, down 0.32% as North American equities tumbled after hotter than expected US CPI data for september. CPI rose 8.2% year over year in September, compared to an 8.3% rise in August and expectations for an 8.1% increase. The reading indicated persistent inflationary concerns and reaffirmed the likelihood of the Fed remaining aggressive at its November meeting, and going forward.
Broader risk sentiment also remained sour, as the EIA warned that OPEC+ output cuts of 2 million bpd a day could tip the economy into a recession. "With unrelenting inflationary pressures and interest rate hikes taking their toll, higher oil prices may prove the tipping point for a global economy already on the brink of recession," the IEA wrote in today’s report.
The commodity heavy Canadian index was also pressured by the continued slide in oil prices, as traders bet on a slowing economy weighing on fuel demand.
The Biggest Stories on Bay Street
This morning, Barrick Gold (NYSE:GOLD) reported a fall in third-quarter gold output from the previous quarter and said it expects full-year gold production to be at the low end of the range it forecast earlier. It said its third-quarter gold output fell due to weak production from its Veladero, Carlin and Turquoise Ridge mines. Copper production meanwhile rose 2.5% to 123 million pounds, driven by strong performance at its Lumwana mine. Barrick said the average realized price for the precious metal during the quarter was $1,729 per ounce, down from $1,871 per ounce in the second quarter.
After the close yesterday, Aritzia reported earnings of $46.3 million or 40 cents per diluted share in the second quarter, up from $39.8 million or 35 cents per share a year earlier. Excluding one-time items, adjusted net income was $82.6 million or 44 cents per share, compared with $72.9 million or 39 cents per share in the prior year.
Canadian Stocks Moving Markets This Morning
Top Gainers:
Top Losers:
In Canadian Economics
The Parliamentary Budget Officer projected the federal deficit for the fiscal year 2022-23 will be less than half the forecast in the federal budget earlier in the year. The PBO, the parliamentary watchdog, the federal deficit to be $25.8 billion in fiscal 2022-23, compared to the $52.8 billion forecast previously in the federal budget.
Yet another call for a decline in housing prices - albeit a moderate decline. Royal LePage lowered its forecast for home prices in Canada, predicting the aggregate home price in Canada will be 0.5% lower in Q4 2022 than it was in the same period a year ago.