Stocks in Canada’s main market were driven lower on Friday as upbeat U.S. jobs data deepened concerns of more interest rate hikes.
The S&P/TSX had lost 216.74 points, or 1%, by noon to 20,815.07.
The Canadian dollar dipped 0.03 cents to 79.52 cents U.S.
Cannabis concerns proved the main agent of the demise, as Canopy Growth flopped 41 cents, or 6.9%, to $5.51, while rival Tilray faltered 30 cents, or 5.4%, to $5.28.
In tech stocks, Docebo fell $2.74, or 6.3%, to $40.81, while Shopify stumbled $45.48, or 9.1%, to $455.66.
In gold stocks, Alamos Gold dulled in price 51 cents, or 4.8%, to $10.09, while IAMGOLD Corporation demurred 12 cents, or 4%, to $2.90.
ON BAYSTREET
The TSX Venture Exchange lurched lower 8.51 points, or 1.2%, to 719.96.
All 12 TSX subgroups were down midday, as health-care subsided 3.3%, information technology slouched 3.1%, and gold dropped 2.2%.
ON WALLSTREET
U.S. stocks slid Friday as investors digested a stronger-than-expected jobs report and its implication for monetary policy going forward.
The Dow Jones Industrials thundered lower 330.86 points, or 1%, to 32,917.42.
The S&P 500 fell 69.43 points, or 1.7%, to 4,107.39.
The NASDAQ Composite slumped 315.76 points, or 2.6%, to 11,977.44.
Technology shares retreated amid the rising rates. Micron Technology fell about 7%, and Nvidia lost roughly 4%. Mega-cap tech names Google-parent Alphabet and Meta Platforms each lost more than 3%.
Apple eased around 4% after a cautious research note from Morgan Stanley. The firm said slowing App Store growth could hurt the company in the near-term.
Tesla shares fell more than 8% after Reuters reported, citing an internal email, that CEO Elon Musk wants to cut 10% of jobs at the car maker. According to Reuters’ report, Musk also said in the email that he has a “super bad” feeling about the economy.
The comments from Musk come after other warnings from bellwether companies this week. JPMorgan Chase CEO Jamie Dimon on Wednesday said he expects an economic “hurricane” ahead amid the war in Ukraine and the Fed’s tightening regime. On Thursday, Microsoft cut its earnings and revenue guidance for the fiscal fourth quarter, citing unfavorable foreign exchange rates.
Hiring in the U.S. remained elevated in May. Non-farm payrolls added 390,000 jobs last month, the U.S. Bureau of Labor Statistics reported
Friday. Economists expected 328,000 jobs added, according to Dow Jones.
Treasury prices sagged, raising yields to 2.97% from Thursday’s 2.91%. Treasury prices and yields move in opposite directions.
Oil prices gained $1.70 to $118.57 U.S. a barrel.
Gold prices lost $17.60 to $1,853.80 U.S. an ounce.
