Equity markets in Canada’s largest centre opened lower on Monday, tracking losses in commodity prices, amid fears over the pace of interest rate hikes by major central banks.
The TSX tumbled 228.7 points to open Monday and the week at 19,882.68,
The Canadian dollar forfeited 0.13 cents to 76.79 cents U.S.
Meanwhile, Australia's Link Administration Holdings Ltd said its shareholders voted in favour of Dye & Durham’s revised offer of A$4.81 per share, that valued the share registry company at A$2.47 billion ($1.70 billion U.S.).
Dye & Durham shares opened Monday up 14 cents to $16.43.
TD Securities cut the target price on Cineplex to $17.50 from $18.50. Cineplex shares dipped 26 cents, or 2.6%, to $9.62.
CIBC raised target price on Tourmaline Oil to $100.00 from $90.00. Tourmaline shares faltered 51 cents to $77.47.
On the economic front, Statistics Canada said new home prices for Canada increased 0.1% in July compared with June.
The agency says it was the smallest increase since June 2020 and below the average increases witnessed in the first two quarters of 2022 (+1.1% in the first quarter and +0.3% in the second quarter).
StatsCan concludes prices were up in five of the 27 census metropolitan areas surveyed, unchanged in 17 and down in five.
ON BAYSTREET
The TSX Venture Exchange surrendered 7.31 points, or 1.1%, to 642.60.
All 12 TSX subgroups were lower, as health-care subsided 2.8%, consumer discretionary stocks demurred 1.6%, and information technology doffed 1.5%.
ON WALLSTREET
U.S. stocks fell Monday as the summer rally continued to wane and fears of aggressive interest rate hikes returned to Wall Street.
The Dow Jones Industrials unloaded 420.6 points, or 1.3%, to 33,286.08.
The S&P 500 dropped 64.75 points, or 1.5%, to 4,163.73.
The NASDAQ Composite tumbled 227.14 points, or 1.8%, to 12,478.08.
Investors are anticipating what could be a volatile week of trading ahead of Federal Reserve Chairman Jerome Powell’s latest comments on inflation at the central bank’s annual Jackson Hole economic symposium.
Tech stocks declined on concern over more aggressive rate hikes from the Fed. Amazon fell 2%. Semiconductor stocks dropped with Nvidia down 2.4%. Shares of Netflix were 4% lower following a downgrade to sell from CFRA.
European markets experienced steep declines, driven in part by worries of rising inflation and higher interest rates around the world.
On the earnings front, traders are expecting Palo Alto Networks and Zoom Video to report results Monday after the bell.
Treasury prices retreated a bit, raising yields to 3% from Friday’s 2.98%. Treasury prices and yields move in opposite direction.
Oil prices stumbled $3.57 to $87.20 U.S. a barrel.
Gold prices fell $15.30 to $1,747.60 U.S. an ounce.
