TSX Closes Down 260 Pts, But 30 Pts Above Day Lows; U.S. Economic Data Weighs, Mostly On Gold Miners
Bar a very small gain in the early minutes of today's trading session, Canada's main stock market, the Toronto Stock Exchange, spent most of Wednesday under strong selling pressure and ended it down 260 points, albeit more than 30 points above day lows. What's more - losses today wiped out most of the gains made since the turn of the year.
Declines weren't confined to here. U.S. markets were also lower as North American investors and traders reacted to disappointing U.S. ADP jobs and ISM non-manufacturing index data, suggesting that growth in the economy in the U.S. - which is Canada's largest trading partner - might be slowing again. We'll know more about the outlook when non-farm payrolls figures emerge Friday.
Metals & Miners were the biggest losers with Kinross Gold (K.TO) losing nearly 6% and hitting fresh year lows and Eldorado Gold (ELD.TO) losing almost 5% and also hitting new 52 week lows. This pair were the most actively traded.
On commodities, MarketWatch reported: "Oil futures sank Wednesday, as a sizable climb in last week's U.S. supplies and a slowdown in growth of private payrolls combined to push prices below $95 a barrel." It said: "May crude fell $2.74, or 2.8%, to settle at $94.45 a barrel on the New York Mercantile Exchange. That was the lowest settlement for a most-active contract since March 22, according to FactSet data."
MarketWatch also reported: "Gold futures dropped Wednesday to their lowest settlement level since late June, as signs of weakening demand for the so-called paper form of the metal offset safe-haven support from a slowdown in growth among U.S. private payrolls in March." It said: "Gold for June delivery fell $22.40, or 1.4%, to settle at $1,553.50 an ounce on the Comex division of the New York Mercantile Exchange. That was the lowest settlement for a most-active contract since June 28, according to FactSet data."
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