Baystreet.ca - Canada's main stock index fell on Tuesday due to energy stocks tracking a decline in oil prices, while investors assessed domestic inflation data that raised expectations for an outsized interest rate cut next week.
The TSX Composite Index forfeited 49.19 points to move into Tuesday afternoon at 24,421.98, after five straight days of gains.
Markets in Canada were closed Monday for the Thanksgiving holiday.
The Canadian dollar was off 0.01 cents to 72.44 cents U.S.
In corporate news, brokerage CIBC (TSX:CM) downgraded technology firm VerticalScope Holdings to neutral from outperformer. VerticalScope swooned 47 cents, or 5.7%, to $7.79.
Health-care stocks took off, driven by a jump of 65 cents, or 59%, in drugmaker Bausch Health (TSX:BHC) Companies to $11.60.
On the economic slate, Statistics Canada said the consumer price index rose 1.6% on a year-over-year basis in September, down from a 2.0% increase in August. On a seasonally adjusted monthly basis, the CPI was unchanged at 0.0% in September.
The agency went on to report wholesale trade (excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain) fell 0.6% to $81.9 billion in August.
ON BAYSTREET
The TSX Venture Exchange lost 3.85 points to 601.58.
All but two of the 12 TSX subgroups were in the plus column midday Tuesday, with utilities up 1.5%, while gold and health-care tacked on 1.4%.
The two laggards proved to be energy, down 4.4% by noon, and information technology stocks off 0.7%.
ON WALLSTREET
Stocks fell Tuesday, taking a breather from the rally that lifted them to record highs, as traders sifted through the latest corporate earnings reports.
The Dow Jones Industrials sank 85.23 points to 42,979.99.
The S&P 500 index dropped 19.84 points to 5,840.01.
The NASDAQ Composite weakened 151.74 points to 18,350.95.
Nvidia (NASDAQ:NVDA), Broadcom (NASDAQ:AVGO) and other chip stocks hit their lows of the session after Dutch semiconductor-equipment maker ASML (AS:ASML) tumbled 17%. The company’s CEO warned of “cautiousness” among customers and said a “recovery is more gradual than previously expected.” UnitedHealth (NYSE:UNH) was down 7% after the company trimmed its full-year earnings outlook. Bank of America (NYSE:BAC) ticked 2% higher on better-than-expected results.
Wall Street is coming off a winning session that propelled the S&P 500 and Dow to all-time highs. Notably, the Dow added more than 200 points to finish above the 43,000 mark for the first time.
Prices for the 10-year Treasury picked up some territory, lowering yields to 4.04% from Monday’s 4.07%. Treasury prices and yields move in opposite directions.
Oil prices ditched $3.81 to $70.22 U.S. a barrel.
Gold prices added $19.40 to $2,685.00 U.S. an ounce