Stocks Take Knocks

(MENAFN- Baystreet)
Canada's main stock index fell Monday, as investors shaken by the rising popularity of a Chinese discount artificial intelligence model sold AI-linked stocks.
The TSX index retreated 179.34 points, albeit off their lows of the day, to end Monday trading at 25,289.15, after a week in which the index sprouted 1.6%.
The Canadian dollar recovered 0.07 cents at 69.58 cents U.S.
Investors will be closely watching interest rate decisions from the bank of Canada and the U.S. federal Reserve on Wednesday.
The Canadian central bank has reduced rates by a cumulative 1.75 percentage points since June 2024 and is anticipated to cut rates by an additional 25 basis points.
Brookfield Asset Management said on Monday it has closed two real-estate investments in Japan worth a combined $1.6 billion. Brookfield shares reached noon EST down 68 cents to end the week's first session at $85.31.
Tech stocks were dragged by a drop of $48.98, or 28%, to $125.70, in electronics firm Celestica, while power firm TransAlta fell $3.99, or 20.6%, to $15.37.
Elsewhere in techs, Bitfarms dove 32 cents, or 13.7%, to $2.01.
In materials, Ivanhoe Mines ditched 86 cents, or 5.1%, to $16.13, while First Majestic Silver lost 49 cents, or 6.1%, to $7.59.
In gold stocks, Iamgold dropped 46 cents, or 5.3%, to $8.22, while Aya Gold & Silver dumped 63 cents, or 5.4%, to $10.99.
On the positive side, TELUS Corp. gained 67 cents, or 3.3%, to $20.94, while BCE took on 79 cents, or 2.3%, to $34.56.
Real-estate stocks perked, with units of Riocan REIT jumped 46 cents, or 2.2%, to $206.99, while Colliers sprang up $4.46, or 2.2%, to $206.99.
In industrial issues, TFI hiked $7.17, or 3.7%, to $201.46, while GFL Environmental spiked $1.37, or 2.3%, to $61.95.
ON BAYSTREET
The TSX Venture Exchange stumbled 18.41 points, or 3%, to 602.84.
Eight of the 12 TSX subgroups were lower by the close, with information technology trudging 3.4%, and materials backed off 1.5%, and gold dulled in price 1.3%.
The four gainers were led by communications, up 2%, and real-estate, ahead 0.9%, and industrials, better by 0.5%.
ON WALLSTREET
The S&P 500 and NASDAQ were down sharply Monday on concern about an artificial intelligence stock bubble popping because of the emergence of Chinese startup DeepSeek, which has possibly made a competitive AI model for a fraction of the billions Silicon Valley is spending.
The Dow Jones Industrials popped 289.33 points to close Monday at 44,713.58, thanks to gains in Apple, Johnson & Johnson and Travelers.

The much-broader index flopped 88.96 points, or 1.5%, to 6,012.28.
The NASDAQ Composite swooned 612.47 points, or 3.1%, to 19,341.83.
AI darling Nvidia dropped 18%, Broadcom lost 17%, and AMD shed 7%. Microsoft lost 2%. Palantir was hit for 6%. Megacap tech titan Amazon shed 1%.
Derivative plays from the AI buildout such as power providers were also hit big. Constellation Energy lost 21%, while Vistra dropped 30%.
On top of that, the Federal Reserve will hold its first policy meeting of the year, deciding on the level of interest rates Wednesday. Fed funds futures are pricing in a more than 99% chance that the central bank leaves interest rates unchanged.
Prices for the 10-year Treasury gained ground, lowering yields to 4.53% from Friday's 4.62%. Treasury prices and yields move in opposite directions.
Oil prices dropped $1.60 to $73.08 U.S. a barrel.
Prices for gold plunged $36.00 an ounce to $2,742.90.80 U.S.
NASDAQ Flops, Dow Jumps

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