Equities in Canada’s largest markets languished slightly below breakeven on Monday, as energy and health-care stocks faltered by the close.
The S&P/TSX Composite Index retreated 13 points to close Monday at 16,026.26
The Canadian dollar shed 0.24 cents to 78.54 cents U.S.
Energy took the brunt of the losses, as Cenovus Energy faded 38 cents, or 2.6%, to $13.91. while Crescent Point Energy Corp. dipped 26 cents, or 2.4%, to $10.62.
Health-care stocks also got battered, most notably, Valeant Pharmaceuticals, tattooed 95 cents, or 4.9%, to $18.53.
Among utilities, Hydro One slipped seven cents to $22.64.
Consumer discretionary stocks led the gaining subgroups, as Canadian Tire was in the green 40 cents to $162.29, while Gildan Activewear edged up four cents to $38.41
In the materials sector, Teck Resources gained 49 cents, or 1.8%, to $27.77, while Agnico Eagle Mines forged up 31 cents to $57.36.
Gold stocks did respectably, as Barrick Gold took on five cents to $17.76, while Goldcorp picked up eight cents to $16.89.
The federal government proposed on Friday that it split equally the income from excise taxes on recreational marijuana with the provinces where it will be sold when it is legalized next year, drawing criticism from Ontario
ON BAYSTREET
The TSX Venture Exchange regained 6.27 points to 802.75
The 12 TSX subgroups were evenly divided between gainers and losers Monday, consumer discretionary leading the former half, up 0.5%, while materials and gold each cleared breakeven 0.3%.
The half-dozen laggards were weighed most by energy stocks, 1.2% less energetic, while health-care issues dropped off 0.7%, and utilities hesitated 0.3%.
ON WALLSTREET
U.S. equities closed slightly higher on Monday amid deal making news, but a decline in General Electric shares, coupled with worries about tax reform, capped gains in the major indexes.
The Dow Jones industrial average recovered from Friday’s losses, jumping 17.49 points to 23,439.70, with Boeing among the biggest contributors of gains, while GE was the biggest decliner on the index. Dubai airline Emirates unveiled a provisional order for 40 of Boeing's 787 Dreamliners. The deal is worth $15.1 billion U.S.
The S&P 500 squeezed up 2.54 points to 2,584.84, with Mattel shares surging 20% on news that Hasbro has approached the toy maker about a takeover. Hasbro's bid for Mattel is the latest news out of a deal making space that has recently picked up steam.
GE, meanwhile, was the worst-performing stock in the S&P 500. It fell 7.2% after the company issued weaker-than-expected guidance for 2018. The industrial giant also slashed its dividend by 50% and announced it will focus on its health care, aviation and energy businesses moving forward.
Last week, media reported that 21st Century Fox has been in talks to sell most of the company to Disney. Also, Qualcomm rejected a $105-billion bid from Broadcom.
The NASDAQ Composite inched higher 6.66 points to 6,757.60, with Facebook, Amazon and Netflix rising, while Apple and biotech stocks declined.
Earnings rolled again Monday, with Tyson Foods and JD.com reporting quarterly results before the open. Switch is set to report after the bell.
Elsewhere, there was no major economic data set for release Monday, but investors are looking ahead to key inflation data due later in the week.
There are also worries that, even if tax reform gets done, a corporate tax cut could be delayed until 2019. These concerns came about after the Senate unveiled its own tax reform bill. In contrast, a House bill would slash the corporate rate immediately. The House wants to vote on its bill this week.
Prices for the benchmark 10-year Treasury note were unchanged Monday, keeping yields at Friday’s 2.4%.
Oil prices demurred three cents a barrel to $56.71 U.S.
Gold prices gained $3.70 an ounce to $1,277.90 U.S.
Related Stories
