Canada's main stock index edged lower on Tuesday, weighed down by a more than 1% slide in energy and health-care stocks and caution ahead of the U.S. Federal Reserve meeting, while a jump in Air Canada shares on upbeat earnings helped limit losses.
The S&P/TSX Composite index fell 52.92 points to break for lunch Tuesday at 21, 194.09
The Canadian dollar lost 0.11 cents to 80.69 cents U.S.
Air Canada reported a smaller quarterly loss on Tuesday, as Canada's decision to open its borders to fully-vaccinated travelers and improving COVID-19 inoculation rates drove bookings at the country's largest carrier.
Shares in the Maple Leaf airline gained $1.02, or 4.4%, to $24.03.
Thomson Reuters reported higher quarterly sales and raised its full-year revenue forecast for the third time this year as the global news and information company benefits from a recovering global economy, sending its shares up 57 cents to $147,36.
Westport Fuel Systems was among the biggest decliners in Toronto, dropping 22 cents, or 4.7%, to $4.49. Another was Gibson Energy, off $1.16, or 4.6%, to $24.20.
On the economic front, Statistics Canada reports building permits rose 4.3% to $10.1 billion in September, led by Ontario, which catapulted 6.3%.
The agency added that construction intentions in the residential sector were up 8.2%, while the non-residential sector decreased 3.2%.
ON BAYSTREET
The TSX Venture Exchange was positive 6.9 points to 975.10.
All but two of the 12 TSX subgroups were lower midday, as health-care slumped 2.9%, materials tailed off 1.7%, and energy docked 1%.
The two gainers proved to be consumer staples, ahead 0.7%, and financials, up 0.6%.
ON WALLSTREET
The S&P 500 rose to a record high on Tuesday — ahead of the key Federal Reserve decision — as strong corporate earnings gave investors confidence in a year-end rally.
The Dow Jones Industrials gained 98.78 points to 36,012.26,
The S&P 500 advanced 13.9 points to 4,627.28, also attaining at an all-time high.
The NASDAQ Composite gained 26.84 points to 15.622.75, and to record
Pfizer shares rose 3.8% after the drug maker’s third-quarter profit topped expectations. It also raised its 2021 revenue and EPS outlook.
Under Armour shares soared 19% after the athletic retailer hiked its annual outlook, revealing the company is seeing progress in improving its brand image under CEO Patrik Frisk.
DuPont de Nemours rallied 4.3% after beating on the top and bottom lines of its quarterly results and Estee Lauder popped 2.5% on better-than-expected earnings and revenue.
Tesla shares cooled off Tuesday after popping during the end of October. Shares of the electric automaker dipped 2%, though they are up more than 50% over just the past month.
The drop follows a report that the carmaker is recalling 11,700 of its vehicles due to a communications error, and a tweet from company founder Elon Musk that Tesla has yet to sign a contract with rental giant Hertz. Tesla was off its lows of the day.
As of Monday evening, 55.8% of S&P 500 companies have reported quarterly financial results, with 82% beating earnings estimates.
The Fed, at the conclusion of its two-day meeting on Wednesday, is expected to announce it will begin unwinding its $120 billion in monthly bond purchases implemented during the pandemic.
The October jobs report is set for Friday.
Prices for 10-year Treasurys were higher, lowering yields to 1.54% from Monday’s 1.56%. Treasury prices and yields move in opposite directions.
Oil prices dumped 79 cents to $83.26 U.S. a barrel.
Gold prices faded five dollars to $1,790.80 U.S. an ounce.
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