Markets in Toronto fell on Monday as energy shares dropped after crude prices weakened, with sentiment dented further by concerns that surging cases of the Omicron coronavirus variant might curb global economic recovery.
The S&P/TSX Composite plummeted 344.73 points, or 1.7%, to approach noon EST at 20,394.26,
The Canadian dollar faded 0.29 cents at 77.22 cents U.S.
Health concerns were hit hardest, particularly OrganiGram Holdings, down a dime, or 4.1%, to $2.34.
ON BAYSTREET
The TSX Venture Exchange slumped 14.93 points, or 1.7%, to 878.85.
All 12 TSX subgroups were lower midday, with health-care weakening 4.6%, while industrials and real-estate each tumbled 2.5%.
ON WALLSTREET
The major averages fell on Monday as investors continued to grapple with the resurgence of COVID cases spurred from the newfound omicron variant.
The Dow Jones Industrials cratered 620.64 points, or 1.8%, to move into lunch hour at 34,744.80, dragged down by losses in Boeing, Goldman Sachs and American Express.
The S&P 500 index dumped 75.21 points, or 1.6%, to 4,545.43.
The NASDAQ jettisoned 246.99 points, or 1.6%, at 14,922.69.
The omicron variant is raging across the world as the winter holiday season approaches. The strain has been found through testing in 43 out of 50 U.S. states and around 90 countries, and the number of cases is doubling in 1.5 to three days in areas with community transmission, the World Health Organization (WHO) said on Saturday.
U.S. cases are jumping into year-end with more than 156,000 reported on Friday, according to CDC data.
Reopening plays were among the biggest losers once again on Monday. Royal Caribbean shed 3%. United Airlines lost 3.7%, and Southwest gave back 2.3%, Darden Restaurants also lost 3.5%. Booking Holdings was down more than 4%.
Energy stocks also dipped as U.S. oil prices dropped more than 5%. Devon Energy slid more than 6% and Exxon Mobil shed 2.8%. ConocoPhillips was down about 3%.
Financials were in the red with Goldman Sachs down more than 3% and Wells Fargo down 2.8%. JPMorgan and Bank of America also dropped about 2% each.
Caterpillar, Boeing and General Electric also lost ground on Monday. The aircraft maker was off by 3.4%. Caterpillar is down 2.7%, and GE fell 3%.
Prices for 10-year Treasurys gained slightly, lowering yields to 1.39% from Friday’s 1.41%. Treasury prices and yields move in opposite directions.
Oil prices dropped $4.57 to $66.29 U.S. a barrel.
Gold prices slid $9.60 to $1,795.30 U.S. an ounce.
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