Canada's main stock index opened lower on Tuesday, weighed down by losses in financial stocks.
The S&P/TSX Composite Index let go of 64.41 points to open Tuesday at 15,951.74
The Canadian dollar shed 0.14 cents at 76.8 cents U.S.
Strong performances from its domestic and international operations helped Bank of Nova Scotia deliver second-quarter results ahead of market expectations on Tuesday.
Scotiabank shares dropped $2.29, or 2.9%, to $77.65.
Media reports say Canada is likely to buy Kinder Morgan Canada’s Trans Mountain oil pipeline and its proposed expansion project in an attempt to ensure that it is built.
Kinder shares gained 59 cents, or 3.6%, to $17.18.
CIBC cut the price target on Corus Entertainment to $8.50 from $9.00. Corus shares lost 13 cents, or 2%, to $6.28.
TD Securities raised the price target on Vermilion Energy to $55.00 from $54.00. Vermilion shares docked 15 cents to $44.15.
ON BAYSTREET
The TSX Venture inched higher 1.37 points to start Tuesday trading at 772.11
Eight of the 12 TSX subgroups were lower, as financials counted down 1.1%, while consumer discretionary and health-care stocks each lost 0.6%.
The four gainers were led by gold, up 0.8%, energy, ahead 0.7%, and materials, up 0.5%.
ON WALLSTREET
U.S. stocks dropped sharply Tuesday as political turmoil in Italy and Spain added to investors' worries and sent the euro falling to its lowest level against the dollar in 2018.
The Dow Jones Industrials fell 134.23 points to 24,618.86, amid losses in Goldman Sachs, J.P. Morgan Chase, and IBM.
The S&P 500 dropped 11.7 points to 2,709.63, as falling interest rates undermined financial stocks
The NASDAQ slipped 3.8 points to 7,403.06, thanks to losses in Apple and Amazon
Falling yields added to pressure on both U.S. and European bank shares, as lower rates tend to shrink lending and profits. Big banks like Citigroup, Morgan Stanley and Bank of America all fell roughly 2% Tuesday
The Walt Disney Company fell 0.9% Tuesday after its latest "Star Wars" film disappointed at the box office.
"Solo: A Star Wars Story" opened to an underwhelming $103 million in North America over the long holiday weekend, falling short of estimates closer to $150 million.
The moves in the U.S. came amid turbulence for European markets and politics alike.
The Stoxx Europe 600 fell 1.2%, weighed down by a 2.1% drop in Italy's FTSE MIB and a 2.4% decline in Spain's IBEX 35.
The euro fell 0.4% to $1.158 U.S. — its lowest level this year against the greenback — as Italian debt rates continued to rise.
Prices for the benchmark for the 10-year U.S. Treasury gained, lowering yields to 2.88% from Friday’s 2.93%. Treasury prices and yields move in opposite directions.
Oil prices dropped 95 cents at $66.93 U.S. a barrel.
Gold prices lost $9.60 at $1,294.10 U.S. an ounce.
