Stocks Take Knocks at Outset

Wholesale, Housing Figures in Vogue



Equities in Canada’s largest centre opened lower on Wednesday as oil prices tumbled after weaker-than-expected Chinese economic data clouded the outlook for the global economy.

The TSX stumbled 145.14 points to lead off Monday at 20,034.67.

The Canadian dollar shed 0.89 cents to 77.34 cents U.S.

Turquoise Hill Resources rejected an offer by
majority shareholder Rio Tinto to buy the
49% stake it doesn't already own for $2.7 billion. Shares in Turquoise Hill plummeted $4.74, or 14.1%, to $28.80.

On the economic calendar, June wholesale sales rose 0.1% to $80.7 billion. This growth was attributable to increases in the miscellaneous goods and motor vehicle and motor vehicle and motor vehicle parts and accessories subsectors.

Elsewhere, Statistics Canada said manufacturing sales fell 0.8% in June, mainly on lower sales of petroleum and coal products and of wood products. Excluding the petroleum and coal product industry, sales rose 0.5% in June.

The Canadian Real Estate Association reported national home sales fell by 5.3% on a month-over-month basis in July.

ON BAYSTREET

The TSX Venture Exchange faded 2.76 points to 677.73.

The 12 TSX subgroups were evenly split in the first hour, with health-care perking 1.6%, information technology spiking 0.9%, and utilities ahead 0.5%.

The half-dozen laggards were weighed by energy, backpedaling 4.9%, materials, down 1.9% and gold, duller in price by 0.8%.

ON WALLSTREET

U.S. equities were lower Monday, putting Wall Street on track to take a breather after another positive week, as traders braced for big retail earnings.

The Dow Jones Industrials eked higher 10.15 points to open Monday and the week at 33,771.26

The S&P 500 fell 3.57 points to 4,276.55

The NASDAQ Composite fought its way higher 8.79 points, or to 13,055.18.

Monday’s moves come after disappointing economic data out of China overnight. The country’s central bank also cut rates unexpectedly, raising concern over China’s economic recovery.

Investors are looking ahead to a week of earnings from big retailers including Home Depot, Walmart and Target, and listening for clues on how their businesses have been affected by inflation and other macro challenges in the most recent quarter.

Treasury prices were up, lowering yields to 2.78% from Friday’s 2.84%.

Oil prices tumbled $4.31 to $87.78 U.S. a barrel.

Gold prices fell $22.20 to $1,793.30 U.S. an ounce.