Stocks Mimic U.S. Brethren On Way Down

(MENAFN- Stocks Mimic U.S. Brethren on Way Down
Celestica, Westshore in Focus

Canada's main stock index fell on Tuesday, mirroring weakness on Wall Street, as U.S. Treasury yields touched multi-year highs on bets of interest rates staying elevated for a longer time.
The TSX Composite Index slumped 140.71 points to 19,659.90.
The Canadian dollar flopped 0.22 cents at 74.12 cents U.S.
Tech took the biggest knocks, with Celestica off 81 cents, or 2.6%, to $30.19, while Converge Tech shed seven cents, or 2.5%, to $2.74.
Real-estate also felt around for the bruises, with units of Primaris REIT sinking 40 cents, or 3%, to $12.90, while NorthWest Healthcare Properties REIT dipped 16 cents, or 2.9%, to $5.40.
In industrials, Westshore Terminals skidded $2.28, or 8.1%, to $25.79, or after RBC downgraded the stock to "sector perform" from "outperform", while Badger Infrastructure retreated $1.12, or 3.2%, to $33.62.
The TSX Venture Exchange fell 6.78 points on its way to lunch Tuesday at 563.39.
All but one of the 12 TSX subgroups were lower, as information technology dumped 1.5%, real-estate slid 1.4%, and industrials declined 1.3%.
Only energy held out against the tide, up 0.7%
The S&P 500 fell on Tuesday to its lowest level in months after the latest home sales and consumer confidence reports stoked concern over the state of the U.S. economy.
The Dow Jones Industrials turfed 327.75 points, or 1%, to pause for lunch Tuesday at 33,679.13.
The S&P 500 index dumped 53.63 points, or 1.2%, to 4,283.81, dipping below 4,300 for the first time since June 9.
The NASDAQ index tumbled 174.60 points, or 1.3%, to 13,096.72.
JPMorgan Chase CEO Jamie Dimon warned interest rates may need to rise further to tamp down inflation, comments that added to bearish sentiment Tuesday. Bank stocks declined, as Wells Fargo shares dropped more than 1%, while Morgan Stanley fell nearly 1%.
August new home sales missed expectations. Homes under contract totaled 675,000 for the month, down 8.7% from July, according to the Commerce Department. Economists polled by Dow Jones anticipated a total of 695,000, which would have represented a 2.7% fall from unrevised July totals.
The Conference Board's consumer confidence index fell to 103 in September, down from 108.7 in August. Economists were anticipating 105.5, according to consensus estimates from Dow Jones. The expectations index tumbled to 73.7, below the level that observers associate with recessions.
Investors this week are also grappling with negotiations in Washington, as lawmakers hope to avert a government shutdown that could take place as early as Oct. 1 if Congress doesn't agree on a spending bill.
Still, upcoming seasonal market tumult could present a window for investors. Though October is known as the“jinx month” because of the 1929 and 1987 crashes, it also has a reputation as a“bear killer,” according to the“Stock Trader's Almanac.”
Prices for the 10-year Treasury fell back, raising yields to Monday's 4.54%. Treasury prices and yields move in opposite directions.
Oil prices gained 69 cents to $90.37 U.S. a barrel.
Gold prices cratered $14.80 to $1,921.80.


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