Equities in Canada’s biggest market touched their lowest point in six months on Tuesday, tracking a slump in global markets on political worries and growth concerns and due to losses in energy stocks.
The S&P/TSX Composite Index handed back 273.46 points, or 1.8%, to lurch into noon hour at 15,139.24
The Canadian dollar inched back 0.01 cents to 76.33 cents U.S.
The largest percentage gainers on the TSX were Alamos Gold, which jumped 33 cents, or 5.6%, to $6.19, and Endeavour Mining, which rose 57 cents, or 2.7%, to $21.92.
Weed stocks extended their slide from Monday and led decliners with Aurora Cannabis down $1.74, or 15.2%, to $9.68, and Aphria Inc off $1.07, or 6.8%, to $14.70.
ON BAYSTREET
The TSX Venture Exchange fell 21.73 points, or 3.3%, to 638.43
All but one of the 12 subgroups were lower, as health-care plummeted 7.2%, energy let go of 3.7%, and industrials shed 3%.
The lone holdout was in gold, brightening 1.4%.
ON WALLSTREET
Stocks fell sharply on Tuesday as corporate results from Caterpillar and 3M disappointed investors.
The Dow Jones Industrials came off its lows of a very scary morning, but remained negative 391.10 points, or 1.5%, to 24,926.31, with Caterpillar and 3M as the biggest decliners.
The S&P 500 docked 44.6 points, or 1.6%, to 2,711.48, as the industrials and energy sectors underperformed.
The NASDAQ thundered lower 128.88 points, or 1.7%, to 7,482.11, entering correction territory, as investors continue to dump tech-related shares such as Amazon and Netflix.
The S&P 500 was on pace for its fifth straight weekly decline and traded below the lows hit earlier this month during this ongoing selloff. The major indexes are all down at least 5.9% for October.
Caterpillar dropped more than 8% following the release of its results. The company said its manufacturing costs rose due to higher material and freight costs. Material costs were driven by higher steel prices and tariffs. This drop adds to Caterpillar's steep monthly losses. Through Monday's close, the stock is down 15.6% for the month.
The U.S. and China have implemented tariffs on billions of dollars worth of their goods this year, increasing costs for companies and raising fears that tighter global trade conditions could slow down the global economy. Negotiations between the two countries have stalled recently, increasing fears that this spat will be prolonged.
Shares of 3M fell more than 6% after its quarterly earnings and revenue missed expectations. The company also trimmed its earnings outlook for 2018.
Continued selling in tech and financials shares also pushed futures lower.
Netflix dropped 2.1%, bringing its monthly losses to more than 14%. Amazon, Nvidia, Alphabet and Twitter shares also traded lower as investors worried about valuations for high-flying technology names with interest rates on the rise.
Bank of America declined 2% and is now down more than 9% for October as investors fretted that rising mortgage rates would crimp loan growth. Higher short-term rates may increase competition for bank deposits as well. Banks led the market lower on Monday.
The latest bout of selling comes during the busiest week of the earnings season, with more than 150 members of the S&P 500 set to report. Of the companies that have reported thus far, 79.6% have topped analyst estimates for earnings.
Prices for the benchmark for the 10-year U.S. Treasury sprang to life, lowering yields to 3.13% from Monday’s 3.2%. Treasury prices and yields move in opposite directions.
Oil prices backpedaled $3.07 at $66.29 U.S. a barrel.
Gold prices surged $11.50 an ounce to $1,238.80
