Stocks in Canada’s largest market tripped and fell out of the gate on Tuesday, hindered by weakness in industrial and consumer discretionary issues.
The S&P/TSX Composite dropped 34.37 points to open Tuesday at 15,370.75
The Canadian dollar bolted 0.69 cents at 77 cents U.S.
Wealthsimple announced a $20-million investment from Power Financial, and formally launched in the United States, as it looks to compete in a crowded American market dominated by big investment firms.
Power shares toppled 53 cents, or 1.6%, to $33.64.
CIBC cut the price target on Detour Gold to $21.00 from $23.00 to reflect the delay in permitting at West Detour.
Detour shares leaped $2.21, or 14%, to $18.01
Desjardins cut the price target on New Gold to $5.00 from $7.25, citing a financing overhang estimated in the $150-million range has developed.
New Gold shares faltered 51 cents, or 13.1%, to $3.37.
Imperial Oil reports Q4 earnings, expecting 37 cents per share. Imperial shares slid 77 cents, or 1.1%, to $42.35.
On the economic beat, Statistics Canada reported that November gross domestic product rose for the fifth time in six months, up 0.4% in November.
The nation’s number crunchers said the hike was powered by higher output in manufacturing, mining, quarrying, and oil and gas extraction, finance and insurance and construction.
The agency also said its industrial product price index rose 0.4% in December, led mainly by higher prices for energy and petroleum products.
The raw materials price index increased 6.5%, mainly due to higher prices for crude energy products.
ON BAYSTREET
The TSX Venture Exchange regained 4.31 points to 806.55
Eight of the 12 subgroups lost ground as consumer discretionary shares fell 0.8%, while information technology and industrials each stepped back 0.7%.
The four gainers were led by gold, up 2.3%, materials, up 1.3%, and real estate, inching up 0.02%.
ON WALLSTREET
U.S. equities fell on Tuesday, the last trading day of the month, as investors continued to evaluate the latest policies from the White House, while a slew of companies posted quarterly results.
The Dow Jones Industrials dropped 127.89 points to 19,843.24, with Boeing and Goldman Sachs falling the hardest.
The S&P 500 surrendered 8.54 points to 2,272.36, with industrials falling 1% to lead decliners
The NASDAQ eased 19 points to 5,594.71.
Investors also had to contend with several quarterly reports from major companies. Under Armour shares tanked more than 20% after the firm missed Wall Street estimates on sales and profit.
Dow component Exxon Mobil's results also fell short of analyst estimates. The firm said its U.S. upstream business lost $2.3 billion in the fourth quarter of 2016, while its downstream segment made $1.2 billion.
Firms scheduled to report after the close Tuesday include tech giant Apple, U.S. Steel and Anadarko Petroleum.
In economic news, U.S. labour costs rose less than expected in the fourth quarter, pointing to low inflation even as anecdotal evidence suggests that wage growth is picking up as the labour market tightens.
The U.S. Labor Department said the Employment Cost Index, the broadest measure of labor costs, increased 0.5% after rising 0.6% in the third quarter.
Meanwhile, the Chicago Purchasing Managers Index adjusted January reading came in at 50.3, below December's 53.9. Other data scheduled for release Tuesday include consumer confidence, later in the morning.
Investors also kept an eye on the Federal Reserve as the U.S. central bank kicked off its first monetary policy meeting of the year. The Fed is scheduled to release its latest policy decision on Wednesday, with market participants largely expecting interest rates to remain unchanged.
On Monday, Trump signed an executive order that aims at dramatically slashing regulations. That said, investors and traders around the globe focused on another executive order — signed late Friday — that barred entry of certain nationals into the U.S.
Prices for the benchmark 10-year Treasury note vaulted, lowering yields to 2.44%, from Monday’s 2.49%. Treasury prices and yields move in opposite directions.
Oil prices recovered 42 cents to $53.05 U.S. a barrel
Gold prices hopped higher $19.90 to $1,215.90 U.S. an ounce.
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