Canada's main stock index fell for the fourth straight session on Wednesday as global risk appetite was wrecked by data showing weakness in the U.S. economy in the face of a prolonged trade war with China.
The TSX Composite Index moved earthward 201.53 points, or 1.2%, to greet noon Wednesday at 16,246.13
The Canadian dollar dropped 0.42 cents at 75.21 cents U.S.
Hexo dropped 31 cents, or 6.1%, to $4.76, while Canopy Growth fell 56 cents, or 1.9%, to $28.29.
Aurora Cannabis stumbled 17 cents, or 3.1%, to $5.27.
Cenovus Energy slid 43 cents, or 3.6%, to $11.62 after it lowered full-year spending target.
Shares of the Stars Group jumped $6.09 or 30.1%, to $26.34, after U.K.-based Flutter Entertainment agreed to buy the company behind Poker Stars in a $6-billion share deal to create the world's largest online betting and gambling company by revenue.
ON BAYSTREET
The TSX Venture Exchange lost 3.47 points to 552.35
Eight of the 12 Toronto subgroups remained in the red midday, with energy retreating 2.5%, health-care tumbling 2.4%, and financials off 2%.
The four gainers were led by gold, ahead 1.8%, materials, better by 0.8%, and consumer discretionary stocks, up 0.5%.
ON WALLSTREET
Stocks fell sharply on Wednesday, adding to Wall Street’s poor start to the final quarter of 2019 as investors grapple with fears of an economic recession and the impeachment inquiry of President Donald Trump.
The Dow Jones Industrials plunged 495.77 points, or 1.9%, to 26,077.27, to break below its 50-day and 100-day moving averages, two technical levels watched by traders.
The S&P 500 slumped 34.05 points, or 1.2%, to 2,906.20, to fall below its 100-day moving average as the industrials sector dropped 2.3%. The tech sector lost more than 2%.
The NASDAQ Composite stepped back 87.64 points, or 1.1% to 7,821.05, as large-cap tech companies followed the broader market lower. Amazon, Apple and Alphabet all dropped at least 0.9%. Microsoft shares also fell 2%.
Some traders also said worries around Trump’s impeachment process dampened sentiment on Wednesday. Stocks have risen sharply since Trump’s election as the administration has pushed through market-friendly policies such as lower corporate taxes and deregulation.
Trump tweeted this "impeachment nonsense" was driving stocks lower. House Speaker Nancy Pelosi announced an impeachment inquiry into Trump last month for alleged abuse of power.
Wall Street’s focus remained on the economic data as private payrolls growth slowed down in September, according to a report from ADP and Moody’s Analytics. Payrolls increased by 135,000 in September, a drop from 157,000 in August. The gains from August also reflected a downward revision of nearly 40,000 payrolls.
The data from ADP and Moody’s Analytics is seen by investors as a preview to the government’s monthly jobs report, which will be released Friday
Prices for the benchmark 10-year U.S. Treasury improved, lowering yields to 1.60% from Tuesday’s 1.64%. Treasury prices and yields move in opposite directions.
Oil prices slid $1.36 to $52.26 U.S. a barrel.
Gold prices regained $18.30 to $1,507.30 U.S. an ounce.
