Canada's main stock index fell on Tuesday, mirroring losses in global equities, after the United States threatened to slap taxes on European goods and fears of a global economic slowdown resurfaced.
The S&P/TSX Composite Index dumped 85.69 points to greet noon at 16,321.60,
The Canadian dollar let go of 0.05 at 75.06 cents U.S.
Top percentage gainers on the TSX were Bausch Health, which gained 33 cents, or 1%, to $34.68, followed by Endeavour Mining, which rose 53 cents, or 2.7%, to $20.33.
WSP Global fell $1.73, or 2.4%, the most on the TSX, to $71.09, followed by shares of Toromont Industries, down $1.62, or 2.3%, to $68.35.
The International Monetary Fund cut its global economic growth forecasts for 2019 and warned growth could slow further due to trade tensions and a potentially disorderly British exit from the European Union.
ON BAYSTREET
The TSX Venture Exchange slouched 4.11 points to 628.18
All but three of the 12 Toronto subgroups slumped midday, as health-care dived 1.5%, energy slid 0.9%, and financials were off 0.6%
The three gainers were information technology, up 0.5%, while gold and consumer staples each peeked up 0.1%.
ON WALLSTREET
The Dow Jones Industrial Average fell for a second straight day Tuesday as investors awaited the start of corporate earnings season later this week.
The 30-stock index plummeted 161.81 points to pause for noon at 26,179.21, as Boeing stock came under pressure again on concerns about 737 Max jet production delays.
The S&P 500 settled 12.27 points at 2,883.61, led by losses in industrials, energy and financial companies.
The NASDAQ Composite dropped 15.09 points to 7,938.80
Wall Street expectations for this earnings season imply a significant reduction to corporate profit growth in comparison to recent quarters.
Investors anticipate first-quarter S&P 500 earnings growth to slip 4.3% on a year-over-year basis. If that forecast proves accurate, it would be the first profit contraction for the S&P 500 since the second quarter of 2016. S&P 500 revenues are expected to grow just under 5%.
On the positive side, Apple shares gained 1%, putting them on track for its 10th straight day of gains. If the stock closes in positive territory Tuesday, it will be Apple's first 10-day win streak since 2010.
American aircraft giant Boeing dropped 1.3% Tuesday as investor angst over its decision on Friday to cut production of its 737 Max jets kept pressure on the stock. Regulators and stakeholders alike are scrutinizing the company in light of two recent fatal 737 Max crashes.
Wall Street short seller Carson Block believes the crashes show that the company is more concerned with short-term profits than anything else.
The prolonged grounding of the 737 Max planes forced American Airlines on Tuesday to lower its revenues guidance for the first fiscal quarter. The airline cut its total expected revenue per seat mile, a key industry measure of performance, to a range of flat to 1%, down from a prior estimate of flat to 2%.
Though American Airlines stock fell 2.2% Tuesday, selling in major industrials names wasn't confined to the aerospace industry.
Shares of Caterpillar fell 1.7% while Deere dropped 2.9%.
Disney shares rose 1.6% Tuesday after brokerage Cowen upgraded the Dow component and told clients that its film pipeline should boost profits over the next few years.
Prices for the benchmark 10-year U.S. Treasury gained, lowering yields to 2.49% from Monday’s 2.52%. Treasury prices and yields move in opposite directions.
Oil prices lost 44 cents to $63.96 U.S. a barrel.
Gold prices spiked $7.80 to $1,309.70 U.S. an ounce.
