TSX Cuts Gains to 40 Points at Midday As Energy, 3 More Turn Negative
The TSX was still positive at midday but has significantly reduced morning gains to just 40 points after energy shares, along with industrials, info tech, and utilities, changed course and moved into the negative territory. Also taking a toll on stocks was the International Monetary Fund's revised outlook for global growth.
Reports said the IMF trimmed its global economic forecast for the year, citing the weakness in the U.S. Its outlook for next year, however, remains unchanged.
Meanwhile, despite the increase in oil prices on the back of recovering Chinese stock markets, the energy sector suffered a small loss of 0.19%, as Pacific Rubiales (PRE.TO) tumbles 39.05% after ALFA and Harbour Energy took their offer to buy the company off the table. The group has not offered an alternative takeover proposal for the company.
The most notable decliner was the industrial group, shedding 0.39%. It was followed by utilities, which were down by 0.31%. Info tech eased 0.12%.
On the positive side, miners cut their earlier gains to 2.09%, with gold prices falling. Healthcare and financials were up 0.65% and 0.71%, respectively.
Total volume traded so far stood at 132.7 million shares. Pacific Rubiales was the most actively traded stock.
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