TSX Resumes Downward Trip
Rate-Sensitive Stocks Weigh
Canada's main stock index opened lower on Tuesday, weighed down by interest rate-sensitive sectors on prospects of restrictive monetary policy in the U.S. for a longer period, while healthcare stocks were the top losers on the benchmark index.
The TSX Composite stepped back 86.09 to open for business Tuesday at 19,091.09.
The Canadian dollar skidded 0.08 cents at 73.04 cents U.S.
In corporate news, Canadian investment firm Brookfield is buying the renewable energy division of Banks Group. Brookfield shares handed over a penny to $41.20.
Lundin Mining Chief Executive Officer Peter Rockandel is slated to step down on Dec. 31. Shares in Lundin Mining forfeited 14 cents, or 1,4%, to $9.58.
The TSX Venture Exchange dropped 1.66 points to 543.79.
All but three of the 12 TSX subgroups were lower to begin the session, with real-estate tailing off 1.3%, financials poorer by 0.9%, and consumer discretionary stocks slipping 0.7%.
The three gainers proved to be gold, brighter by 0.6%, communications, nicking up 0.1%, and industrials beating breakeven by but 0.02%.
Stocks fell Tuesday as traders kept an eye on rising Treasury yields, which hit a 16-year high.
The Dow Jones Industrials descended 167.45 points to start Tuesday at 33,265.90.
The S&P 500 index sagged 31.89 points to 4,256.48.
The NASDAQ index waned 134.16 points, or 1%, to 13,173.61.
Stocks moved to their lows of the session as yields spiked further following the release of the August job openings survey, which signaled a still tight jobs market. The survey showed 9.6 million open roles in the month. Meanwhile, economists polled by Dow Jones had anticipated 8.8 million jobs.
Seasoning and spice manufacturer McCormick & Company led the broad market index's losses on Tuesday, falling nearly 10% after announcing its quarterly earnings. Kellogg declined by 8%, followed by Veralto's 4.1% loss and Airbnb's decline of 3.4%.
Investors are hoping to turn the page on a disappointing September for stocks. All three major indexes closed the month and the third quarter lower. The S&P 500 alone lost nearly 5% in September.
That means key economic reports - such as last month's payroll reports, due Friday - and the kickoff of earnings reporting season next week are back in focus.
Prices for the 10-year Treasury swooned, raising yields to 4.73% from Monday's 4.69%. Treasury prices and yields move in opposite directions.
Oil prices regained 37 cents to $89.19 U.S. a barrel.
Gold prices faded $9.60 to $1,837.60.
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