Canada's main stock index lost much ground on Wednesday, dragged down by heavy losses in materials shares, while oil prices and bond yields rose without any end to the US-Iran conflict in sight.
The TSX slumped 415.55 points to approach noon hour Wednesday at 35,920.06
The Canadian dollar sank 0.14 cents to 70.95 cents.
Americas Gold and Silver Corp 64 cents, or lost 8.6%, to $6.75, while NovaGold Resources was down 85 cents, or 7.8%, to $10.07, Endeavour Silver bottomed the TSX with a decline of $1.77, or 12%, to $13.02, after CIBC downgraded its rating on the stock.
Technology stocks added to the fall with heavyweight Shopify down $6.31, or 3%, to $201.38. The stock rose over 15% in the last two sessions after partnering with Meta on AI-powered shopping
U.S. President Donald Trump said ?talks with Iran in New York had made progress, but then ?threatened to "annihilate" the country if a deal was not ?reached.
On the economic slate, Statistics Canada says its new housing price fell 0.1% month over month in August, matching the decline recorded in July.
ON BAYSTREET
The TSX Venture Exchange skidded 18.13 points, or 1.9%, to break for lunch at 921.67.
Eight of the 12 subgroups were lower, gold down 3.8%, materials sliding 3.5%, and consumer staple stocks off 0.9%.
The four gainers were led by health-care, climbing 1.3%, energy up 0.7%, and industrials, beating breakeven 0.2%.
ON WALLSTREET
U.S. equities fell on Wednesday as Treasury yields marched higher amid concerns among investors that more interest rate hikes from the Federal Reserve may be coming down the pike.
The Dow Jones Industrials caved 182.84 points to 51,680.85
The S&P 500 index lost 37.26 points to 7,727.38.
The NASDAQ Composite dropped 242.81 points to 27,001.46.
In Tuesday’s session, the NASDAQ hit a new all-time intraday high and closed at a record, while the Dow finished lower. The S&P 500 was roughly flat, though the index is about 0.8% off from its all-time high.
Declines in utilities, consumer discretionary and communication services stocks led the broader market’s fall, with the three sectors shedding more than 1% each. Materials was another lagging group, pulling back nearly 1%.
Odds that the Fed would hike rates by a quarter percentage point in October stood above 60% on Wednesday. That’s up from 55.4% a day ago and just 8.8% one month ago.
Earlier Tuesday in his address to the U.N., Trump said he has a “big decision” over whether to reach a deal with Tehran or “annihilate” the country.
Prices for the 10-year Treasury tumbled sharply, raising yields to 5.07% from Tuesday’s 4.95%. Treasury prices and yields move in opposite directions.
Oil prices gained 84 cents to $91.36 U.S. a barrel.
Gold prices flopped $44.50 to $4,331.0 U.S. an ounce.
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