Canada's main stock index declined on Friday on escalating worries over U.S.-China trade war after President Donald Trump threatened to slap tariffs on all $500 billion of goods imported from China.
The S&P/TSX Composite Index stayed in the red 67.09 points to greet noon at 16,475.92
The Canadian dollar stayed afloat 0.73 cents at 76.11 cents U.S.
Among the gainers on the TSX were shares of Paramount Resources, which gained six cents to $14.85, and First Quantum Minerals, which rose 34 cents, or 1.9% to $18.03
Magna International shares fell $1.44, or 1.8%, to $77.84, and proved the top decliner on the TSX, followed by a 4.5% decline in Canopy Growth Co.,to $32.20
On the economic front, Statistics Canada reported that the consumer price index rose 2.5% on a year-over-year basis in June, following a 2.2% increase in May.
On a seasonally-adjusted monthly basis, inflation was up 0.1% in June, matching the increase in May.
Moreover, retail sales hiked 2.0% in May to $50.8 billion, following a 0.9% decline in April. The agency says sales rose in eight of 11 sub-sectors, representing 70% of retail trade.
ON BAYSTREET
The TSX Venture Exchange was positive 1.26 points to 714.43.
All but one of the 12 TSX subgroups were weaker, with health-care settling 2.1%, consumer discretionary stocks off 0.8%, and energy showing 0.7%.
The lone gainer was in information technology, nosing up 0.2%.
ON WALLSTREET
Stocks rose on Friday as strong quarterly results from some of the largest U.S. companies counterbalanced comments made by President Donald Trump about trade with China.
The Dow Jones Industrials regained 29.41 points to 25,093.91, as Microsoft and J.P. Morgan Chase led the index higher.
The S&P 500 moved doggedly into the green 1.89 points to 2,806.38, with tech outperforming.
The NASDAQ regained 15.66 points to 7,841.17
Microsoft reported better-than-expected earnings Thursday after the close and issued strong revenue guidance. The company's stock rose about 2.3% and hit a record. Honeywell shares also rose 2.1% on stronger-than-expected earnings and revenue.
Just over 16% of S&P 500 companies have reported calendar second-quarter earnings thus far, with 83% of those firms surpassing analyst expectations. Investors have high expectations for this earnings season, with analysts expecting 20% year-over-year profit growth for the second quarter.
In an interview, Trump said he was not thrilled the Fed was raising rates. "Because we go up and every time you go up they want to raise rates again. I am not happy about it. But at the same time I’m letting them do what they feel is best."
Prices for the benchmark for the 10-year U.S. Treasury dropped, raising yields to 2.88% from Thursday’s 2.84%. Treasury prices and yields move in opposite directions.
Oil prices picked up 32 cents to $69.78 U.S. a barrel.
Gold prices recovered five dollars at $1,229.00 U.S. an ounce.
