Canada's main stock index opened lower on Monday as tougher sanctions from the West imposed over the weekend impacted global financial markets, although gains in commodity-linked stocks limited losses.
The TSX Composite began the week down 76.99 points to 21,029.01
TD Securities resumed coverage on Centerra Gold with a hold rating.
Centerra shares took on three cents to $11.83.
Berenberg cut the rating on Galiano Gold to hold from buy. Galiano shares gained three cents, or 4%, to 78 cents.
CIBC cut the target price on Onex Corp to $100 from $110.00. Onex shares fell $2.45, or 2.8%, to $83.75.
On the economic calendar, Statistics Canada said its industrial product price index was up rose 3.0% month over month in January and was 16.9% higher than in January 2021, while its raw materials price index was up 6.5% on a monthly basis in January 2022 and up 30.5% year over year.
ON BAYSTREET
The Canadian dollar squeezed higher 0.18 cents to 78.58 cents U.S.
All but three of the 12 TSX subgroups were lower, with health-care down 2.4%, consumer discretionary listing lower 1.4%, and financials off
1%.
The three gainers proved to be energy, progressing 1.1%, utilities, up 0.3%, and gold, better by 0.2%.
ON WALLSTREET
U.S. stocks retreated on Monday morning as Russian and Ukraine officials gathered to discuss a potential end to the hostilities between the two sides and the U.S. and its allies increased retaliatory sanctions.
The Dow Jones Industrials collapsed 449.26 points, or 1.3%, to 33,609.49
The S&P 500 faded 44.24 points, or 1%, to 4,340.41
The NASDAQ Composite Index lost 87.78 points, or 0.6%, to 13,606.84.
In U.S. trading, defense stocks like Lockheed Martin and Northrop Grumman rose about 2%. Bank stocks were under pressure, with JPMorgan falling 2.8%. Cybersecurity stocks also outperformed, with Crowdstrike jumping 6%.
The moves come amid turmoil over the conflict between Russia and Ukraine, where Ukrainian forces have held key cities including the capital of Kyiv. At the same time, Ukraine officials have arrived near the border for talks with Russian officials.
In the most recent financial developments, the Central Bank of Russia more than doubled its key interest rate, to 20% from 9.5% in reaction to a currency move that saw the ruble tumble nearly 16% against the U.S. dollar.
Over the weekend, the U.S. joined allies in Europe and Canada in moving to bar key Russian banks from the interbank messaging system, SWIFT. The system connects more than 11,000 banks and financial institutions in more than 200 countries and territories.
Russian military vehicles entered Ukraine’s second-largest city Kharkiv with reports of fighting taking place and residents being warned to stay in shelters.
The price of oil jumped $3.25 to $94.84 U.S. a barrel.
Gold prices hiked $28.60 to $1,914.40 U.S. per ounce,
World Situation Rocks Markets
