Canadian Stocks Move Mostly Lower On Trade Concerns
(RTTNews) - Following the upward move seen last Friday, Canadian stocks have moved back to the downside during the trading day on Monday.
The S&P/TSX Composite Index has climbed off its worst levels after an initial sell-off but remains down 74.05 points or 0.5 percent at 16,420.38.
The weakness among Canadian stocks comes amid renewed trade concerns after U.S. President Donald Trump threatened to impose tariffs on all Chinese imports in a series of posts on Twitter on Sunday.
Trump said tariffs on $200 billion worth of Chinese goods would be increased to 25 percent on Friday and threatened to impose tariffs on the remaining $325 billion worth of Chinese goods "shortly."
"The Trade Deal with China continues, but too slowly, as they attempt to renegotiate. No!" Trump tweeted, claiming the existing tariffs on Chinese goods have had "little impact on product cost, mostly borne by China."
Trump noted China has been paying a 25 percent tariff on $50 billion worth of high tech goods and a 10 percent tariff on $200 billion worth of other goods for ten months.
The 10 percent tariff had been scheduled to rise to 25 percent at the end of last year, but the increase was delayed due to ongoing trade talks.
Trump claimed the tariffs being paid by China for the past several months are "partially responsible for our great economic results."
The tweets from Trump have raised concerns about the next round of U.S.-China trade talks scheduled for later this week in Washington.
Consumer, energy, and materials stocks are turning in some of the market's worst performances on the day, while modest strength has emerged among healthcare stocks.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.