Canada's main stock index ended flat on Tuesday as Apple's revenue warning underlined the impact of the coronavirus outbreak on global supply and demand, but losses were capped by a recovery in resource stocks.
The TSX Composite Index squeaked ahead 9.98 points to conclude Tuesday’s trading at 17,858.34.
The Canadian dollar dropped 0.06 cents to 75.48 cents U.S.
Gold led the parade of winners, with Eldorado Gold triumphing 93 cents, or 10.5%, to $9.76, while B2Gold jumped 46 cents, or 8.4%, to $5.95.
In the materials sector, First Majestic Silver tallied 67 cents, or 5.3%, to $13.39, while Pan American Silver climbed $2.07, or 7%, to $31.76.
Telecoms also climbed the charts, with BCE advancing 85 cents, or 1.3%, to $65.18, and Quebecor moving higher 42 cents, or 1.3%, to $33.30.
Consumer discretionary stocks took the biggest thumps, with Spin Master down $1.76, or 5.3%, to $31.59, while Dollarama sagged $1.86, or 4.3%, to $41.75.
Industrials also got bruised with Air Canada pummeled $1.21, or 2.6%, to $45.01, while Mullen Group fell 23 cents, or 2.5%, to $9.16.
Financials also suffered, with Equitable Group losing $1.64, or 1.5%, to $108.53, while Sun Life dipped $1.01, or 1.5%, to $65.43.
On the economic beat, Statistics Canada said Tuesday manufacturing sales declined for the fourth consecutive month, down 0.7% to $56.4 billion in December.
ON BAYSTREET
The TSX Venture Exchange gained a solid 6.57 points to 577.06.
The 12 TSX subgroups were split down the middle, as gold stocks shone brightest, up 3.5%, while materials picked up 2%, and communications improved 0.9%.
The half-dozen laggards were weighed most heavily by consumer discretionary stocks, down 1%, while industrials weakened 0.6%, and financials were 0.3% poorer.
ON WALLSTREET
The Dow Jones Industrial Average fell for a third consecutive day on Tuesday as investors weighed a stark warning from tech giant Apple.
The 30-stock index came off its lows of the day, but remained in the minus column 166.42 points end the day at 29,231.66.
The S&P 500 fell 9.87 points to 3,370.29.
The NASDAQ forged higher 1.57 points from Friday’s all-time high, at 9,732.74.
Netflix rose 1.9% and reached its highest level since July 2018 while Alphabet gained 0.1%. Tesla contributed to the NASDAQ’s gains as well, rising more than 7%.
Apple cautioned it does not expect to meet its quarterly revenue forecast, citing slowed production and weakened demand in China as a result of the coronavirus outbreak.
The most valuable company in the U.S. initially said it expected to report net sales between $63 billion to $67 billion in its fiscal second quarter. Apple also finished the session well off its lows of the day, closing 1.8% lower.
The company has not provided an updated forecast for its fiscal second-quarter.
Apple’s warning sent shares of some suppliers lower. Skyworks Solutions slid 1.9% while Xilinx withered 1%, and Qorvo dropped 2.6%.
China’s National Health Commission on Tuesday reported an additional 98 deaths nationwide, with 1,886 new cases of the coronavirus. As of Feb. 17, the commission said there had been a total of 72,346 confirmed cases and 1,868 deaths.
Prices for the 10-Year U.S. Treasury gained ground, lowering yields to 1.56% from Friday’s 1.59%. Treasury prices and yields move in opposite directions.
Oil prices eked higher two cents to $52.07 U.S. a barrel.
Gold prices jumped $19.30 to $1,605.70 U.S. an ounce.
