By Ketki Saxena
Investing.com -- At midday in Toronto, the S&P/TSX composite Index was at 19,574.61 points, down 1.32% in the day’s trading, tracking Wall Street lower as worries of a rate-hike-driven slowdown continue to dominate following a hawkish tone from the Fed at Jackson Hole last week.
The heavy commodity index was also pressured by a slide in energy and materials. Crude oil also slid today on worries of slowdown-driven demand destruction globally, while materials were pressured by a slide in gold prices as the inflation hedge sees further downside from the Fed’s commitment to rein in consumer prices. Materials was also pressured by copper, indicative of global market sentiment and worries of a downturn. Due to its wide use in diverse industries, metal is considered a benchmark of global economic health.
The Canadian index was also pressured by financials, as the Bank of Montreal (TSX:BMO) became the last Canadian bank to report earnings this morning, and the third of Canada’s big six banks to miss analyst expectations. BMO said it earned $2.13-billion or $3.09 per share, compared to analyst estimates of $3.17 per share. Canadian banks have been rocked this quarter by volatility in capital markets and growing provisions for credit losses in an increasingly bearish economic environment.
Resource stocks were the biggest losers on the TSX today including Precision Drilling (-9.16%), Capstone Mining (TSX:CS) (-6.55%), and Vermilion Energy (TSX:VET) (-6.41%).
Today’s biggest gainers included (+2.37%), Empire Company (+1.65%), and Sleep Country (+1.34%).