Markets in Canada’s biggest centre fell on Monday in a broad retreat led by its heavyweight financial and natural resource sectors.
The S&P/TSX Composite remained negative 44.7 points to greet noon at 14,681.16
The Canadian dollar eased 0.05 cents to 76.12 cents U.S.
The financials group slipped, as Federal Finance Minister Bill Morneau prepared to make an announcement about the country's housing market, which could include measures aimed at cooling interest from foreign buyers.
The most influential stocks weighing on the index included Royal Bank of Canada, which fell 0.6% to $80.76, and Bank of Nova Scotia, down 0.6% to $69.12.
Shares in fashion retailer Aritzia Inc were trading at $18.00 in their market debut, after they were priced at $16.00 last week.
Shares in Spectral Medical slumped 78% to 35 cents after it said its experimental treatment for sepsis - a common, often deadly complication of infection - failed a late-stage study, stymieing the company's plans to bring to market the first U.S. Food and Drug Administration-approved device for the condition.
On the economic slate, RBC says its seasonally-adjusted Canadian Manufacturing Purchasing Managers Index declined to 50.3 in September, compared to 51.1 in August and below market expectations of 51.5.
ON BAY STREET
The TSX Venture Exchange docked 6.47 points to 793.76
All but three of the 12 TSX subgroups lost ground Monday morning, as gold hurtled 2% lower, materials dropped 1.8%, and real-estate weakened 0.8%.
The three gainers were industrials and information technology, each up 0.1%, while energy gained 0.04%.
ON WALL STREET
U.S. stocks traded lower on Monday, the first trading day of the fourth quarter, as investors digested key economic news and kept an eye on oil prices.
The Dow Jones Industrials retreated 79.09 points to 18,229.06, with Procter & Gamble leading decliners and DuPont the top advancer.
The S&P 500 slid 11.44 points to 2,156.83, with utilities leading seven sectors lower and materials leading advancers.
The NASDAQ Composite dropped 24.49 points to 5,287.51
Nissan reported its September U.S. auto sales rose 4.9%, beating expectations. Ford reported a sales fall of 8%, still better than the expected 8.5%. Toyota sales, meanwhile, missed estimates, rising 1.5%. General Motors fell 0.6%, less than expected.
Other vehicle sales for September will be released throughout the day.
In economic news, the September Markit Manufacturing PMI came in at 51.5, a three-month low. Markit said U.S. manufacturers signaled another moderate upturn in both production volumes and incoming new work during September, but the latest survey indicated a further loss of growth momentum from July's recent peak.
The Institute for Supply Management Manufacturing index for September came in at 51.5, up from 49.4 in the previous month. Construction spending fell 0.7% in August, with analysts expecting a 0.2% increase.
Crude prices rose broadly before paring gains, supported by a planned production cut by the Organization of Petroleum Exporting Countries, although analysts cautioned a stubborn supply overhang could temper a longer-lasting rally. Brent prices broke above $50.00 U.S., hitting their highest level since August, and WTI traded about 1% higher earlier.
The OPEC deal is expected to take effect in November.
Prices for the 10-year Treasury stayed lower, raising yields to 1.62% from Friday’s 1.6%. Treasury prices and yields move in opposite directions.
Oil prices recovered 33 cents to $48.57 U.S. a barrel
Gold prices fell $2.50 at $1,314.60 U.S. an ounce.
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