Selloff Continues in Toronto

Crescent, Ero in Focus


Equities in Canada’s most major markets continued to dawdle by lunch hour Monday, weighed most heavily by resource stocks.

The TSX Composite Index plummeted 422.74 points, or 2%, to moved towards noon hour Monday at 20,763.64.

The Canadian dollar faded 0.28 cents to 78.31 cents U.S.

Energy stocks leaned most heavily on the index, with Crescent Point Energy falling 69 cents, or 7.7%, to $8.24, while MEG Energy dwindled $1.38, or 7.6%, to $16.82.

In materials stocks, Ero Copper lost $1.65, or 8.9%, to $16.82, while Teck Resources fell $2.91, or 6.1%, to $44.49.

The lone holdout seemed to be tech issues, as Constellation Software picked up $38.84, or 1.9%, to $2,092.18, while Converge Technology Solutions prospered 12 cents, or 1.4%, to $8.65.

ON BAYSTREET

The TSX Venture Exchange stepped backward 25.06 points, or 3%, to 811.57.

All but one of the 12 TSX subgroups were lower midday Monday with energy stumbling 5.6%, materials sliding 4.2%, and gold, off 3.8%.

Only information technology held out against the negative tide, gaining 0.7%.

ON WALLSTREET

The Dow Jones Industrial Average fell Monday, continuing an April market selloff that has pushed the index lower for four straight weeks.

The 30-stock index lost another 330.78 points, or 1%, to 33,480.62, off its lows of the morning.

The S&P 500 skidded 46.41 points, or 1.1% to 4,225.37

The NASDAQ Composite was still in the red 8.11 points to 12,831.44.

Energy shares retreated, comprising the worst-performing S&P 500 sector Monday. Chevron fell more than 3% and Exxon Mobil lost more than 5%.

Some technology shares were a bright spot in the market, rising as interest rates fell. Google-parent Alphabet shares nearly 2% and Microsoft was marginally higher.

Investors are watching Twitter as well, which reportedly is re-examining Elon Musk’s takeover bid. The social media company is nearing a deal to sell itself to the billionaire investor, The New York Times reported, citing unnamed sources. Twitter shares were more than 3% higher.

Coca-Cola shares were marginally higher after the company reported better-than-expected quarterly earnings before the bell Monday.

About 160 companies in the S&P 500 are expected to report earnings this week, and all eyes will be on reports from mega-cap tech names, including Amazon, Apple, Alphabet, Meta Platforms and Microsoft.

Fear about a global economic slowdown loomed as Asian stock markets cratered Monday amid concerns about COVID case spikes in China.

Oil prices declined and yields retreated on the fears.

Treasury prices slouched, springing yields up to 2.78% from Friday’s 2.9%. Treasury prices and yields move in opposite directions.

Oil prices subtracted $5.35 at $96.32 U.S. a barrel.

Gold prices dipped $33.70 to $1,900.60 U.S. an ounce.