Canada's main stock index futures fell on Monday, as oil prices declined on fears of slowing demand due to the potential economic fallout from the fast-spreading coronavirus.
The TSX Composite Index dropped 56.44 points to finish Friday at 17,565.34, albeit gaining slightly on the week.
The Canadian dollar dipped 0.15 cents early Monday to 76.12 cents U.S.
March futures sank 0.9% early Monday.
ON BAYSTREET
The TSX Venture Exchange docked 2.98 points to conclude Thursday 582.38
ON WALLSTREET
U.S. stock index futures fell sharply Monday morning after more cases of the coronavirus were confirmed over the weekend, ratcheting up worries over the virus’ impact on the world economy.
Futures for the Dow Jones Industrials plummeted 462 points, or 1.6%, early Monday to 28,471.
Futures for the S&P 500 sank 52 points, or 1.6%, at 3,241.50.
Futures for the NASDAQ Composite tumbled 176 points, or 1.9%, to 8,968.50.
Airline stocks American and Delta both dropped around 3% in the pre-market. United slid 3.2% before the bell. Gaming stocks such as Las Vegas Sands backtracked 7.2%, and Wynn Resorts dropped 5.8%, while MGM Resorts slid more than 3%.
Travel stocks Expedia, Carnival and Marriott International all pulled back at least more than 2%. Consumer shares with exposure to China such as Apple, Disney, Nike and Estee Lauder all dropped more than 1.9%.
Caterpillar, a bellwether for global growth, fell 2.3% while Applied Materials, Advanced Micro Devices and Nvidia each traded more than 3% lower.
Shares of Dow component Boeing were also weighing on the market on reports of a plane crash in Afghanistan. It was initially reported to be a plane from the state-owned Ariana Afghan Airlines. However, Reuters has since said that the airline’s acting CEO Mirwais Mirzakwal has denied that one of its planes has crashed. Boeing shares fell more than 1.5% in the pre-market.
On the data front, new home sales numbers are expected at 10 a.m. ET and the Dallas Fed manufacturing numbers are due at 10:30 a.m. ET.
There are 2,862 confirmed cases so far in China and the death toll in China has risen to 81. The World Health Organization’s director general is traveling to China to meet with government and health officials. In the U.S., a fifth case of coronavirus was confirmed over the weekend.
Overseas, in Japan, the Nikkei 225 tumbled 2% Monday, while in Hong Kong, markets were closed for the Chinese New Year
Oil prices lost $1.69 to $52.50 U.S. a barrel.
Gold prices jumped $12.30 to $1,584.20 U.S. an ounce.
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