Canadian Stocks Are Paring Early Weakness - Canadian Commentary

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(RTTNews.com) - The Canadian stock market got off to a weak start Friday, but has since pared its early losses. The majority of the Canadian sectors are trading in the green this morning, with the notable exception of the energy sector. Crude oil prices are down this morning as an escalation in the U.S.-China trade dispute raised concerns about the outlook for oil demand.

Markets in Europe are trading in the red Friday, extending losses from the previous session. Uncertainty surrounding Brexit and U.S. trade policy has dented the outlook for global growth.

Markets on Wall Street are attempting to recover after a shaky start. A report from Bloomberg said President Donald Trump intends to move ahead with plans to impose tariffs on $200 billion in Chinese imports as early as next week.

The benchmark S&P/TSX Composite Index is down 4.77 points or 0.03 percent at 16,366.78.

On Thursday, the index closed down by 18.74 points or 0.11 percent, at 16,371.55. The index scaled an intraday high of 16,439.24 and a low of 16,349.55.

The Capped Healthcare Index is higher by 2.16 percent. Extendicare (EXE.TO) is up 0.12 percent.

The Gold Index is increasing 1.35 percent. IAMGOLD (IMG.TO) is gaining 2.06 percent and Yamana Gold (YRI.TO) is advancing 1.40 percent. Goldcorp (G.TO) is climbing 2.05 percent and Kinross Gold (K.TO) is up 2.83 percent. Barrick Gold (ABX.TO) is higher by 1.54 percent and B2Gold (BTO.TO) is adding 0.66 percent.

The Capped Materials Index is up 0.56 percent. Agnico Eagle Mines (AEM.TO) is rising 1.26 percent and Franco-Nevada (FNV.TO) is adding 0.07 percent. Nutrien (NTR.TO) is gaining 0.20 percent.

The Capped Telecommunication Services Index is up 0.30 percent. BCE Inc. (BCE.TO) is gaining 0.17 percent and TELUS (T.TO) is climbing 0.18 percent. Rogers Communications (RCI-B.TO) is rising 0.60 percent.

The Capped Industrials Index is up 0.23 percent. Canadian Pacific Railway (CP.TO) is advancing 1.06 percent and Canadian National Railway (CNR.TO) is rising 0.24 percent. Finning International (FTT.TO) is higher by 0.19 percent.

The Energy Index is falling 0.77 percent. Crescent Point Energy (CPG.TO) is declining 1.09 percent and Imperial Oil (IMO.TO) is losing 0.51 percent. Cenovus Energy (CVE.TO) is decreasing 1.86 percent and Encana (ECA.TO) is weakening by 0.46 percent. Canadian Natural Resources (CNQ.TO) is down 1.25 percent and Suncor Energy (SU.TO) is lower by 0.03 percent.

The heavyweight Financial Index is decreasing 0.10 percent. Royal Bank of Canada (RY.TO) is weakening by 0.43 percent and Bank of Montreal (BMO.TO) is lower by 0.42 percent. Canadian Imperial Bank of Commerce (CM.TO) is slipping 0.02 percent.

Stuart Olson Inc. (SOX.TO) announced the appointments of Raymond D. Crossley and David C. Filmon to its Board of Directors. Mr. Crossley and Mr. Filmon will join the Audit Committee, the company said. The stock is rising 0.49 percent.

Medical Facilities Corporation (DR.TO) announced that it has entered into an agreement providing for a new U.S.$150 million syndicated revolving credit facility. Shares are surrendering 0.38 percent.

On the economic front, a report from Statistics Canada this morning showed that the Canadian industrial product price index dropped 0.2 percent in July.

The manufacturing sector in China continued to expand in August, and at a slightly faster rate, the latest survey from the National Bureau of Statistics showed on Friday with a PMI score of 51.3. That beat expectations for a score of 51.0 and was up from 51.2 in July.

Eurozone inflation moderated in August from a more than five-year high level, flash data from Eurostat revealed Friday. Inflation eased to 2 percent from 2.1 percent in July. The annual rate was expected to remain at 2.1 percent, which was the highest since December 2012.

The Eurozone unemployment rate remained unchanged in July, at the lowest since late 2008, Eurostat said Friday.

The jobless rate stood at 8.2 percent, the same rate as seen in June, and in line with expectations, but down from 9.1 percent in July 2017. This was the lowest rate recorded in the euro area since November 2008.

Germany's retail sales growth eased more than expected in July, figures from Destatis showed Friday. Retail sales rose 0.8 percent year-on-year in July, slower than the 2.7 percent increase in June. Sales were expected to grow 1.3 percent. Nonetheless, this was the second consecutive increase.

France's consumer prices grew at a steady pace in August, provisional estimate from Insee showed Friday. Consumer price inflation came in at 2.3 percent, the same rate as registered in July. Inflation was forecast to ease to 2.2 percent. Final data is due on September 13.

UK house prices decreased at the fastest pace since mid-2012 in August, the Nationwide Building Society said Friday. House prices fell 0.5 percent on a monthly basis in August, in contrast to a 0.7 percent rise in July. This was the first drop in three months and the biggest monthly fall since July 2012.

In commodities, crude oil futures for September delivery are down 0.31 or 0.44 percent at $69.94 a barrel.

Natural gas for September is up 0.049 or 1.70 percent at $2.923 per million btu.

Gold futures for December are up 4.40 or 0.37 percent at $1,209.40 an ounce.

Silver for September is up 0.046 or 0.32 percent at $14.64 an ounce.

Read the original article on RTTNews (http://www.rttnews.com/2931187/canadian-stocks-are-paring-early-weakness-canadian-commentary.aspx)

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This article appears in: 401k , Insurance , Banking and Loans , Economy , Oil , Retirement
Referenced Symbols: ABX ,

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