Stocks in Canada’s biggest market let go of gains as Tuesday’s close approached, as oil prices turned negative late in the day after having earlier flirted with the $50.00 (U.S.) a barrel level.
The S&P/TSX Composite Index slipped 20.89 points to finish Tuesday at 14,065.78, even so, securing its fourth month of gains, the best performance since April 2014.
The Canadian dollar slid 0.39 cents to 76.25 cents U.S.
Canadian Natural Resources climbed 43 cents, or 1.1%, to $38.97, to lead a rally in energy producers.
Bank of Nova Scotia slipped 81 cents, or 1.3%, to 64.14, after second-quarter profit fell 12% on higher losses from energy loans and restructuring charges as it shifts toward digital banking. Adjusted profit of $1.48 a share topped the $1.42 average estimate of analysts.
Royal Bank of Canada, Toronto-Dominion Bank and Canadian Imperial Bank of Commerce posted better-than-expected results last week.
Tuesday, Royal shares slumped $1.56, or 1.9%, to $78.83, while TD hesitated 51 cents to $57.11, while Commerce slid 32 cents, to $101.75
Barrick Gold climbed 37 cents, or 1.7%, to $21.92, and Goldcorp rose 40 cents, or 1.9%, to $22.05, as raw-materials producers climbed as a group to halt a three-day slide.
Sherritt International rose four cents, or 5.6% to 75 cents, for the biggest increase in two weeks, after the nickel producer said it reached an agreement with some of its bond holders to extend maturities on the notes as part of a restructuring.
On the economic front, Statistics Canada says this country’s economy grew 0.6% during the first quarter of this year, following up on a 0.1% hike in the last quarter of 2015. However, GDP decreased 0.2% in March, after edging down 0.1% in February.
ON BAYSTREET
The TSX Venture Exchange added 7.67 points to 678.09.
Seven of the 13 TSX subgroups moved lower on the day, with health-care down 3.1%, real-estate trailing 1.1%, and financials, slumping 0.6%.
The half-dozen laggards were led by gold, up 3.1%, materials, ahead 2.4%, and the metals and mining sector, progressing 1.5%
ON WALLSTREET
U.S. stocks closed mixed Tuesday, the last trading day of May, as investors heeded economic reports for indications on the timing of the next rate hike by the Federal Reserve
The Dow Jones Industrials fell 86.09 points to 17,787.13, with Boeing leading decliners and Caterpillar the top advancer.
The S&P 500 was unchanged at 2,099.06. Consumer staples and energy were the greatest decliners in the S&P 500 in afternoon trade.
The NASDAQ Composite added 14.55 points to 4,948.06
As of Friday's close (U.S. markets were closed Monday), the Dow was up about 0.5% for the month, tracking for its first four-month win streak since 2014. The S&P 500 was up 1.6% for May, on pace for its first three-month win streak since 2014
On the economic slate, Chicago Purchasing Managers’ Index came in below expectations and in contraction territory at 49.3 in May.
Consumer confidence was 92.6 in May, down from 94.7 in April.
Earlier reports showed personal spending increased 1% in April, the biggest gain in more than six years. Personal income rose 0.4%
The core personal consumption expenditures price index that excludes food and energy rose 0.2% last month after edging up 0.1% increase in March. In the 12 months through April the core PCE rose 1.6% after a similar increase in March.
The S&P/Case Shiller composite index of 20 metropolitan areas rose 5.4% year-over-year in March, matching the increase the month before and beating the 5.2% estimate from a poll of economists.
Prices for the 10-year Treasury lost ground, raising yields back to Friday’s 1.85%. Treasury prices and yields move in opposite directions.
Oil prices plunged 38 cents a barrel to $48.95 U.S.
Gold prices progressed $10.23 to $1,215.18 U.S. an ounce.
